Analysis Of The Xau/usd Pair
Highlights
FX return analysis
Gold hurtling towards 2013 lows
Fundamental focus: UK and Europe
BOJ to stand pat
Clarity needed from the Fed
FX return analysis
The USD was the star performer last week, gaining against all of its G10 counterparts. The dollar index broke above 84.10 - a key resistance level - to the highest level since mid-2010. Interestingly, the dollar pushed higher even though there were some soft economic data points from the US last week including weaker inflation and initial jobless claims. The key driver of the stronger buck appears to have been some hawkish comments from Fed speakers. San Francisco Fed speaker John Williams and Charles Plosser both said that QE could end by 2014. Although Williams and Plosser are not voting members of the Fed this year, their ...
The Gold (XAU/USD) has rebounded sharply yesterday on the resistance at 1400 points, allowing the price to validate the break of its bearish slant (blue line).
A triple top has been made on 1400 points.
During the night, the price made also a pullback on the fibonacci retracement 23.60% of the last bearish rally of April.
I advise traders to trade the pair outside the range of 1375/1400 points:
- Stay flat between 1375 and 1400 points
- Trade only long positions above 1400 points.
A break of 1425 points will provide a new buy signal for an extension of the rebound towards 1450 points or higher.
- Trade only short positions below 1375 points.
A break of 1360 points will provide a new sell signal for a return to 1340 points.
NB: traders whose trading strategy is more aggressive could ...
The pair XAU/USD (Gold) has stumbled on the fibonacci retracement 61.80% of the last bullish rally on May 3rd, and made a return below 1460 points.
The price found support yesterday on the lower band of the previous medium term bearish channel (orange lines on charts - tracks more visible on previous analyzis).
This morning, the price is testing the Fibonacci retracement 50% (1,456 points) as resistance.
I would advise traders to trade the pair outside the range 1440/1460 points:
- Only long positions above 1460 points. The break of 1490 points will offer a new buy signal for an extension of the correction towards 1500/1510.
- Only short positions below 1440 points. The break of 1420 points will provide a new sell signal for a return towards 1400 points
XAU/USD 1h chart
XAU/USD 4h ...
The pair XAU/USD (Gold) The pair XAU / USD (Gold) has recorded yesterday the most important fall in the last 30 years.
At the lowest, the price has reached 1321.95 points.
A Fibonacci retracement of the last bearish movement should appear on your charts in order to identify areas of resistances in case of rebound.
The price is back this morning on 1380 points with strength but seems now to fall.
I advise traders to trade only short positions as far as 1400 points is resistance.
A stay below 1380 points would comfort our bearish sentiment.
A break of 1350 points will provide a new sell signal for an extension of the current bearish rally towards 1325 points and 1300 points.
In case of return above 1400 points, a buy signal will be given. Traders could then return their positions to trade ...
The pair XAU/USD (Gold) continues to evolve around 1600 points ...
The price made a small bullish movement yesterday and has validated the breakout of the short term bearish slant (purple segment on 1h chart).
The gold also continues to move around its medium term bullish slant (brown segment). This slant acts sometimes as support (like this time) but also as resistance.
I advise traders to trade the pair outside the range of 1600/1620 points:
- Stay flat between 1600 and 1620 points.
- Trade only short positions below 1600 points. Downward breaks of 1590 and then 1580 points would offer new sell signals for an extension of the downtrend movement.
- Trade only long positions above 1620 points. Upward Breaks of 1630 and then 1640 points would offer new buy signals for a pursuit if the ...
The pair XAU/USD (Gold) continues to evolve under 1700 points (resistance).
The price is testing this morining the support situated at 1690 points.
I advise traders to trade only short positions parity as the price will be located below 1700 points.
A pullback on this level is still possible as long as the price is not able to break downward the level at 1690 points.
A break of 1690 points will then provide a new sell signal for an extension of the downtrend towards 1675 points (lowest formed in early November) or towards a lower level if this level is broken down.
In case of return the price above 1700 points, then I would advise traders to wait for a breakout of 1710 points before trading long positions.
XAU/USD 1h chart
XAU/USD 4h chart
The gold has validated yesterday the breakout of 1700 points, offering a new sell signal. The price continues to move below its medium term bullish slant (brown line). Currently, the gold is trying to find support on 1690 points (1685 in extension).
We advise to trade only short positions as far as 1710 points is resistance. A stay below 1700 points will comfort our bearish feeling. The breakout of 1685 will give a new sell signal and should open the way towards 1675 points.
In case of return above 1710 points, we will wait the breakout of 1720 points to advise long positions.
XAU/USD 1h chart
XAU/USD 4h chart
The pair XAU/USD (Gold) found support yesterday on 1700 points after the exit of its medium term bullish channel (purple lines).
We advise to traders to trade short positions as far as 1730 points is resistance. The breakout of 1700 points will offer a new sell signal. Next levels of support are at 1690 and 1680 points.
Be careful : A pullback on the lower band of the former channel is possible.
In case of return above 1730 points, we will advise to wait the breakout of 1740 points to trade long positions.
NB: Traders with a more agressive strategy could trade the pair according to the key level at 1720 points (long above and short below).
XAU/USD 1h chart
XAU/USD 4h chart
The pair XAU/USD (Gold) felt on friday below 1760 points. The price has also validated a return below the midline of its medium term bullish channel (purple lines) and found support just above 1740 points after a bearish rally.
We are neutral between 1740/1760 points and we advise to wait an exit of this range to take position:
- Long in case of return above 1760 points. The breakout of 1780 points will give a new buy signal
- Short if 1740 points is broken. The next support at 1720 points. The breakout of this level will open the way for a test of the major support at 1700 points.
NB: The gold could also be trade according to 1750 points (long above and short below) for traders with a more agressive strategy
XAU/USD 1h chart
XAU/USD 4h chart