Current trend
After a strong growth at the beginning of the week, the price of gold declined and was ranging between 1080.68 and 1071.79 on Tuesday. At present, the price remains in the area of 1073.85 and might start correcting up to this week high 1081.60.
Durable Goods Orders statistics for November are due today in the US. This data is an important indicator for the market; its growth has a positive effect on the economy. However, analysts expect a decline to -0.7% from 3.0% in October that might affect the USD and ease the pressure on the XAU/USD pair.
Support and resistance
On the daily chart, the pair is trading between the upper and the middle MA of Bollinger Bands. MA50, MA100 and MA144 remain above the current price and directed down. According to the indicator, the pair is in a negative trend. MACD histogram is in the negative zone with almost no volumes. ADX indicator suggests a decline in the pair. The DI lines are directed parallel and down, ADX is falling.
Support levels: 1068.46 (middle MA of Bollinger Bands), 1051.22, 1046.43 (beginning of December low).
Resistance levels: 1084.74 (upper MA of Bollinger Bands), 1097.67, 1118.26, 1131.65.
Trading tips
Long positions can be opened from the current level with the target at 1080.87 and stop-loss at 1068.46.
If the price consolidates below the level of 1068.46, short positions would become valid. Open short positions from the level of 1065.60 with the target at 1051.22 and stop-loss at 1073.00.
After a strong growth at the beginning of the week, the price of gold declined and was ranging between 1080.68 and 1071.79 on Tuesday. At present, the price remains in the area of 1073.85 and might start correcting up to this week high 1081.60.
Durable Goods Orders statistics for November are due today in the US. This data is an important indicator for the market; its growth has a positive effect on the economy. However, analysts expect a decline to -0.7% from 3.0% in October that might affect the USD and ease the pressure on the XAU/USD pair.
Support and resistance
On the daily chart, the pair is trading between the upper and the middle MA of Bollinger Bands. MA50, MA100 and MA144 remain above the current price and directed down. According to the indicator, the pair is in a negative trend. MACD histogram is in the negative zone with almost no volumes. ADX indicator suggests a decline in the pair. The DI lines are directed parallel and down, ADX is falling.
Support levels: 1068.46 (middle MA of Bollinger Bands), 1051.22, 1046.43 (beginning of December low).
Resistance levels: 1084.74 (upper MA of Bollinger Bands), 1097.67, 1118.26, 1131.65.
Trading tips
Long positions can be opened from the current level with the target at 1080.87 and stop-loss at 1068.46.
If the price consolidates below the level of 1068.46, short positions would become valid. Open short positions from the level of 1065.60 with the target at 1051.22 and stop-loss at 1073.00.