We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
Gold
Bearish
Oil - US Crude
Mixed
Bitcoin
Bullish
More View more
Real Time News
  • RT @lisaabramowicz1: Third-quarter earnings have been beating estimates at a near record pace so far, yet Wall Street analysts are still st…
  • (CORR) •(SGD) presents a unique undertaking for traders •It is guided by the MAS, which manages the exchange rate •Learn the principals of developing an SGD fundamental forecast to trade #USDSGD from Analyst @ddubrovskyFX here: https://www.dailyfx.com/forex/fundamental/article/special_report/2019/09/03/The-Singapore-Dollar-and-MAS-What-is-SGD-and-How-to-Trade-it.html?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • $USD weakness failed to translate into uniform #ASEAN FX strength. The path for a US-China trade deal carries uncertainties. SGD, MYR eye CPI data as IDR looks to a rate cut. Get your market update from @ddubrovskyFX here:https://t.co/ggvTHD1hlF https://t.co/JJxpkzzoWq
  • - #USDKRW has broken 8-month rising support; what next? - Weekly chart shows pair is challenging critical 2018 floor - Longer-term outlook suggests bearish reversal is evolving https://www.dailyfx.com/forex/technical/article/special_report/2019/10/22/US-Dollar-Forecast-USDKRW-Challenging-2018-Rising-Support.html?CHID=9&QPID=917705 https://t.co/TBXv3rXWkv
  • • (SGD) presents a unique undertaking for traders •It is guided by the MAS, which manages the exchange rate •Learn the principals of developing an SGD fundamental forecast to trade #USD/SGD from@Danieldubrovsky here: https://www.dailyfx.com/forex/fundamental/article/special_report/2019/09/03/The-Singapore-Dollar-and-MAS-What-is-SGD-and-How-to-Trade-it.html?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • Looking at my #USD Average Index, we have a Bullish Harami at the latest bottom as prices sit above key support (1.2796 - 1.2824). This followed a break under key rising support from March with the next upward-sloping channel going back to September 2018 - red area below https://t.co/BBfNAHyK6r
  • Over the past 30 days, #Philippine Peso has been the best performing Asian currencies vs. #USD with +2.04% total-returns while #Indonesian Rupiah has been the worst with -0.08%
  • [CORR] Ahead of Tuesday’s Asia/Pacific session, here are where local stocks closed at on Monday: Topix 1628.60 (+0.41%), Nikkei 225 22548.90 (+0.25%), JPX Nikkei 400 14565.67 (+0.38%)
  • Asian equities update: Topix 1628.60 (+0.41%), Nikkei 225 22548.90 (+0.25%), JPX Nikkei 400 14565.67 (+0.38%). [Delayed]
  • (Asia Pacific AM Briefing) Yen May Fall as Australian Dollar Gains, AUD/JPY Breakout Prolongs #AUD #JPY $AUDJPY - https://www.dailyfx.com/forex/fundamental/daily_briefing/daily_pieces/asia_am_briefing/2019/10/21/Yen-May-Fall-as-Australian-Dollar-Gains-AUDJPY-Breakout-Prolongs.html?CHID=9&QPID=917702 https://t.co/0pCZkTHzTF
Gold Price Targets: XAU/USD at Risk for Further Losses- GLD Outlook

Gold Price Targets: XAU/USD at Risk for Further Losses- GLD Outlook

2019-10-11 13:30:00
Michael Boutros, Technical Strategist
Share:

Gold prices are lower this week with the precious metal down more-than 1.3% to trade at 1484 ahead of the New York close on Friday. The risk remains for further losses after turning from long-term uptrend resistance last month and we’re looking for a reaction lower down. These are the updated targets and invalidation levels that matter on the XAU/USD charts this week. Review my latest Weekly Strategy Webinar for an in-depth breakdown of this setup and more.

New to Gold Trading? Get started with this Free How to Trade Gold -Beginners Guide

Gold Price Chart - XAU/USD Weekly

Gold Price Chart - XAU/USD Weekly - GLD Trade Outlook - Technical Forecast

Chart Prepared by Michael Boutros, Technical Strategist; Gold on Tradingview

Notes: In my last Gold Weekly Price Outlook we noted that XAU/USD remained, “at risk for further losses while below uptrend resistance here – form at trading standpoint, looking lower for now with a deeper set-back to offer more favorable long-entries closer to trend support.” Nearly three weeks later and prices have remained on the defensive with gold pulling away from critical resistance at 1522/26 – a region where the late-2011 / 2012 swing lows converges on longer-term slope resistance.

Initial support rests with the 75% parallel of the broader ascending pitchfork formation we’ve been tracking off the 2016 / 2018 lows (currently ~1475). Key medium-term support stands at 1451/61- look for a bigger reaction there IF reached with a break / weekly close below needed to suggest a more significant correction is underway. Note that RSI is attempting to close the week below the 70-threshold and further highlights the threat of a broader turn in the momentum profile. Ultimately, a topside breach above 1526 is needed to mark resumption targeting subsequent resistance objectives at 1558 and 1586.

For a complete breakdown of Michael’s trading strategy, review his Foundations of Technical Analysis series on Building a Trading Strategy

Bottom line: Gold prices remain vulnerable after reversing off long-term trend resistance. From at trading standpoint, the risk remains for a deeper pullback towards uptrend support – look for reduce short exposure / lower protective stops on a test of key support at 1451/61 – we’ll reassess the price reaction there IF reached. Review my latest Gold Price Outlook for a closer look at the near-term XAU/USD technical trading levels.

Gold Trader Sentiment – XAU/USD Price Chart

Gold Trader Sentiment - XAU/USD Price Chart - GLD Technical Forecast
  • A summary of IG Client Sentiment shows traders are net-long Gold- the ratio stands at +2.12 (67.9% of traders are long) – bearishreading
  • Long positions are5.11% higher than yesterday and 0.45% higher from last week
  • Short positions are8.10% lower than yesterday and 2.58% lower from last week
  • We typically take a contrarian view to crowd sentiment, and the fact traders are net-long suggests Gold prices may continue to fall. Traders are further net-long than yesterday and last week, and the combination of current positioning and recent changes gives us a stronger Gold-bearish contrarian trading bias from a sentiment standpoint.

See how shifts in Gold retail positioning are impacting trend- Learn more about sentiment!

---

Previous Weekly Technical Charts

Learn how to Trade with Confidence in our Free Trading Guide

--- Written by Michael Boutros, Technical Currency Strategist with DailyFX

Follow Michael on Twitter @MBForex

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.