100-DMA probes gold’s recovery ahead of Powell’s Testimony
Gold’s rebound from seven-month-old horizontal support fades below 100-DMA during early Tuesday. The failure to extend the corrective pullback joins bearish MACD signals to keep gold sellers hopeful ahead of the key testimony by Fed Chairman Jerome Powell. However, a clear break of $1,760 becomes necessary to tease the bears. Also challenging the metal’s downside could be the swing high of late March, around $1,755, a break of which could direct the commodity prices toward the yearly low of $1,676, with the $1,700 act as an intermediate halt.
Meanwhile, an upside clearance of 100-day SMA near $1,795 precedes the $1,800 threshold to guard gold’s short-term upside moves. Also testing the bullish attempts is the mid-May lows near $1,808 as well as the $1,842-43 hurdle. In a case where the XAU/USD remains firm beyond $1,843, the early month low near $1,856 and the yearly resistance line close to $1,910 will be crucial to follow.
Meanwhile, an upside clearance of 100-day SMA near $1,795 precedes the $1,800 threshold to guard gold’s short-term upside moves. Also testing the bullish attempts is the mid-May lows near $1,808 as well as the $1,842-43 hurdle. In a case where the XAU/USD remains firm beyond $1,843, the early month low near $1,856 and the yearly resistance line close to $1,910 will be crucial to follow.
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