Forex Trading Library

Intraday Analysis – Gold Looks to Recover

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Gold falls from record

XAUUSD chart: Line graph illustrating the decline in gold prices as "Gold falls", indicating key support and resistance levels.

Gold falls as ongoing tensions first saw a fresh record above 2430. Then, a dramatic sell-off saw a dive towards 2300 as traders use the wait-and-see approach for the next move in the market. Successive breaks above the level of 2350 could see bulls re-enter the uptrend. 2400 is the first hurdle should the price bounce back. Otherwise, 2330 is the first support for the yellow metal.

GBPUSD attempts to rebound
GBPUSD chart: Line chart showing the rebound in GBPUSD with support and resistance levels highlighted.

Cable found some support after an aggressive dollar opened multi-month lows. The latest sell-off has found support at 1.2430, and a bounce above the immediate resistance of 1.2450 has eased some pressure. Sentiment favours the greenback from the daily chart’s perspective; however, bulls could see the short-term consolidation as an opportunity to join the uptrend. A break above 1.2550 could convince more conservative traders to jump in. On the downside, 1.2400 would be a firm support level.

USOIL drifts lower
USOIL chart: Line chart illustrating the downward drift in USOIL prices with significant support and resistance levels indicated.

WTI also saw a price fall due to the recent fluctuating tensions in the market. With oil nearing a 6-month high, traders estimated a push to $100 before the quarter is done. Bulls struggled to hold the 87.00 level as the upward momentum died down. The price might be vulnerable to a broader sell-off after it broke below 85.00. 83.50 next to the daily SMAs’ bullish cross would be an essential support. 86.40 is the closest resistance ahead.

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