GOLD Analysis Next Week (18/05-22/05)Last week's gold price has increased by more than 3% in the past week and reached the highest level since November 2012, as the attraction for safe haven of gold has been strengthened by increasing trade tensions The Trump administration has accused China of mishandling of the coronavirus outbreak and the conflict between the two superpowers has escalated after US President Trump said on Thursday he could sever ties. with Beijing. Meanwhile, the deepening global economic contraction, before the 19 pandemic, prompted investors to seek safe havens such as gold and USD.JPY.
From a broader perspective, massive monetary and monetary stimulus deployed globally to counter the unprecedented effects of the virus will continue to benefit gold, which is often considered a hedge against inflation. issues and currency disputes.
On the other hand, next week, all eyes will be on the speech of US Federal Reserve Chairman Jerome Powell on Aid, Relief, and the Economic Security Act before the Banking Commission. , Senate Housing and Urban in Washington DC.
In terms of technical analysis
The major time frames are mostly indicative of the upcoming XAU / USD appreciation, with gold prices last week after peaking at 1751.8x since November 2012. Strongly created earlier around the 1747-1748 threshold. In another aspect. Last week gold price continued to close the weekly candle. The harami bullish candle is showing the increase of gold price but the price still closed below 1741.8x. the resistance zone of 1748 is still showing a slight correction before rising again, and there are some profit taking activities here.
In the H4 time frame, the price has completely broken the triangle and the trendline has dropped before that. The supply zone D1 is quite strong around the 172x threshold. In the medium term, H4 continues to appear the cup handle up pattern. This is indicative of the uptrend of the upcoming gold price. In order to complete this model, I personally expect the gold price will have a slight adjustment before rising again.
My personal opinion. Any person who sells according to the strategy I had given before in 1748 will continue to hold.
And here is the upcoming GOLD trading strategy you can refer to.
XAUUSD buy around 1730-1731 SL 1725 TP 1746
Signal Swing :
Buy GOLD around 1724-1726 SL 1716 TP 1748 TP2 1771 (buy zone demand zone created earlier and fibo, trenline confluence.)
Good luck
