XAU/USD: technical analysis

XAU/USD, H4

On the 4-hour chart, a downward movement correction is observed. The instrument is trading between the middle line and the lower border of Bollinger bands, the indicator cloud is expanded, which indicates a likely resumption of decline at the end of the correction. The MACD histogram is in the negative region, the signal line crosses the zero line and the histogram body downwards, forming a signal to open short positions.
XAU/USD, D1

On the daily chart, a sideways trend remains. The instrument moves within the corridor formed by the boundaries of Bollinger bands, the indicator cloud is narrowed. The MACD histogram is in the region of the zero line, its volumes are minimal, the signal line moves horizontally, without forming a definite signal to enter the market.

Key levels

Resistance levels: 1494.66, 1508.24, 1519.25.

Support levels: 1483.47, 1473.74, 1459.31.

Trading tips

According to the technical indicators’ readings, in the short term, it is better to open short positions from the level of 1483.00 with the target at 1474.00 and stop loss 1487.50.

Long positions can be opened from the level of 1495.00 with the target at 1505.00. Stop loss 1490.00.

Implementation period: 1–3 days.

Scenario

Timeframe Intraday
Recommendation SELL STOP
Entry Point 1483.00
Take Profit 1474.00
Stop Loss 1487.50
Key Levels 1459.31, 1473.74, 1483.47, 1494.66, 1508.24, 1519.25

Alternative scenario

Recommendation BUY STOP
Entry Point 1495.00
Take Profit 1505.00
Stop Loss 1490.00
Key Levels 1459.31, 1473.74, 1483.47, 1494.66, 1508.24, 1519.25