Gold likely to remain rangebound till support of 1276.70$ holds
Gold likely to remain rangebound till support of 1276.70$ holds
Gold is likely to trade in a tight range due to global growth concerns.
The yellow metal traced out a near-term top near 1298-1297$ in early Jan 2019 via the formation of a double top pattern. While the resulting downtrend stalled on Tuesday, the ensuing corrective phase has just come to an end as prices pierced at a parallel support level at 1276.70$, developed a double bottom.
Selling pressure remains very strong; a descending triangle is still evident in the four-hour chart. On top of this, the daily indicators are extremely bearish, hence near-term setting is negative. Under these conditions, a recovery above Jan high still seems difficult.
At the time of preparing this, the price is trading at 1285.50$ tad below the first resistance 1287.50$. Support just has been elevated from 1279$ to 1283$
The yellow metal traced out a near-term top near 1298-1297$ in early Jan 2019 via the formation of a double top pattern. While the resulting downtrend stalled on Tuesday, the ensuing corrective phase has just come to an end as prices pierced at a parallel support level at 1276.70$, developed a double bottom.
Selling pressure remains very strong; a descending triangle is still evident in the four-hour chart. On top of this, the daily indicators are extremely bearish, hence near-term setting is negative. Under these conditions, a recovery above Jan high still seems difficult.
At the time of preparing this, the price is trading at 1285.50$ tad below the first resistance 1287.50$. Support just has been elevated from 1279$ to 1283$
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.