Gold Retesting The Buyers!

Gold is trading in the red at the time of writing after failing to close above 1,749.00 yesterday’s high. The price has decreased to test and retest the immediate downside obstacles. It remains to see if the buyers will be strong enough to keep the price in the bullish territory.

The current decline could be a temporary one before resuming its upside reversal. XAU/USD has already registered a corrective phase, so now it’s expected to increase again. The yellow metal could profit from the USD’s decline and jump higher.

XAU/USD H4 Chart Analysis!

XAU/USD has found resistance at 1,755 level, it has retreated as much as 1,723, finding support on the weekly S1. The price rallied from S1 (1,723) and from above the 38.2% retracement level sending the price above the daily and weekly pivot points.

It has found resistance at 1,749 before dropping again. The yellow metal could increase further if it stabilizes above the weekly pivot (1,741). Now is pressuring the 23.5% and the daily pivot (1,739).

XAU/USD registered also an upside breakout above the upper median line (uml) of the descending pitchfork. Stabilizing above this dynamic resistance and beyond the 1,741 weekly pivot point could attract more buyers.

Conclusion!

Stabilizing above the weekly pivot of 1,741.37 and registering a new higher high could validate a strong swing higher.

 

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