Gold Technical Analysis XAUUSD is trading today in a bearish trend after recording its highest price during the day at $2627 per ounce, to witness a decline to reach a low at $2587. Currently, gold is trading at $2612 per ounce. The current price action shows that the general trend is bearish, as gold is trading below the moving averages, which enhances the possibility of this bearish trend continuing in the short term.
Gold Technical Analysis XAUUSD Technical Analysis:
- Moving Averages:
Gold prices are currently trading below the moving averages on short-term periods, which reflects the control of sellers in the market at the present time. Continuing trading below these moving averages supports the hypothesis that the general trend of gold may remain bearish in the coming period, unless an upward breakout of these levels occurs.
- MACD Indicator:
MACD Indicator indicates a negative trend with a bearish crossover between the MACD line and the signal line. Although the overall trend appears negative, there has been some weakness in the downside momentum recently, which could indicate a potential upward correction if there is a change in market dynamics.
- Overall Market Momentum:
Although the market is clearly reflecting a bearish trend in the short-term, the apparent weakness in the MACD indicator suggests that the negative momentum may be slowing down. This could reflect some stability in the market movement in the short-term, with a potential bullish bounce if market drivers change.
Today’s Trading Outlook:
If gold continues to trade below $2620, the downtrend is likely to continue towards the next support levels at $2580 or even $2550. However, if gold can return to trading above $2620, we could see a move towards testing the resistance level at $2650.
Trading strategies based on Buy/Sell levels
| XAUUSD | In case of buying | in case of selling |
| Entry point | 2627 | 2598 |
| Target Point 1 (TP1) | First resistance: 2638 | First support: 2583 |
| Target Point 2 (TP2) | Second resistance: 2645 | Second support: 2572 |
| Stop Loss (SL) | 2598 | 2627 |
Gold is currently showing a bearish trend supported by prices trading below the moving averages and negative signals from the MACD indicator. With some weakness in the negative momentum.
we may see an upward correction in case of a change in the market trend. It is important to monitor technical support and resistance levels to identify trading opportunities in case of any trend changes.
