8 Apr 2015
Gold: technicals supportive of a move higher towards $1225 – FXStreet
FXStreet (Barcelona) - Dhwani Mehta, FXStreet Editor and Analyst, notes technicals suggest that there’s more room to the upside for XAU/USD, expecting a break above 1211.99 to target 1214.83 and then 1223-1225 levels.
Key Quotes
“The pair currently trades higher near 1210.86 levels, locked between 100-DMA resistance at 1211.99 and downside cushioned by 5-DMA and 50-DMA confluence around 1207 levels.”
“XAU/USD recovered partial losses and consolidates in a tight range as broadly weaker US dollar, correcting gains from previous session. Gold prices remain cautious as markets now eye Fed’s March 18 Meeting minutes release later today for further US dollar moves which would have major impact on XAU/USD.”
“The daily RSI at 58.64 has inched slightly higher, indicating an upside in the making. At the moment, the pair seems to retest 100-DMA at 1211.99. And with the technical indicator supportive of the uptrend, XAU/USD is expected to test previous highs at 1214.83 (April 7 High) beyond a break of 100-DMA. XAU bulls may take over and drive the pair higher to 1223-1225 levels resistance zone.”
“To the downside, the pair may test USD 1200 barrier below a break of 50-DMA support at 1207 levels.”
“Overall, XAU/USD is expected to remain underpinned so long as it holds above the key 1200 levels.”
Key Quotes
“The pair currently trades higher near 1210.86 levels, locked between 100-DMA resistance at 1211.99 and downside cushioned by 5-DMA and 50-DMA confluence around 1207 levels.”
“XAU/USD recovered partial losses and consolidates in a tight range as broadly weaker US dollar, correcting gains from previous session. Gold prices remain cautious as markets now eye Fed’s March 18 Meeting minutes release later today for further US dollar moves which would have major impact on XAU/USD.”
“The daily RSI at 58.64 has inched slightly higher, indicating an upside in the making. At the moment, the pair seems to retest 100-DMA at 1211.99. And with the technical indicator supportive of the uptrend, XAU/USD is expected to test previous highs at 1214.83 (April 7 High) beyond a break of 100-DMA. XAU bulls may take over and drive the pair higher to 1223-1225 levels resistance zone.”
“To the downside, the pair may test USD 1200 barrier below a break of 50-DMA support at 1207 levels.”
“Overall, XAU/USD is expected to remain underpinned so long as it holds above the key 1200 levels.”