21.01.201909:27 Forex Analysis & Reviews: Technical analysis for Gold for January 21, 2019

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Gold price dropped last week 0.5% to $1,281 as risk on in equities and stronger Dollar brought sellers in the precious metal pushing prices lower. Technically we were expecting breakout to the upside, but we were also prepared for an exit in case the break out was to the downside.

Green rectangles - support areas

Purple lines - bullish channel

Black lines -triangle pattern

In our previous post we mentioned the price levels that would trigger a break out either to the upside or the downside. Gold price broke to the downside once the $1,290 level failed to hold. We also warned that a break to the downside would push prices towards $1,280 in the beginning and then we would expect price to move towards the 38% Fibonacci retracement level of the upward move from $1,232. So our short-term target and important short-term support level is around $1,272, Resistance is at $1,293 and any break above this level will open the way for $1,320 and higher.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.