Gold Weighed Down by a Combination of Price Levels in a Narrow Range

XAUUSD Price Analysis – January 24

A modest recovery of sentiment concerning global risks, as evidenced by the positive shift in trade around the stock markets, affected the status of a safe-haven for precious metals. XAUUSD sank lower at the start of the European session on Friday and is currently near daily lows, around $ 1,560 levels.

Key levels
Resistance Levels: $ 1625, $ 1595, $ 1575
Support Levels: $ 1540, $ 1517, $ 1500

XAUUSD Long-term Trend: Bullish

The XAUUSD exchange rate is trying to break beneath the level of $1,557.00. As of this morning, the rate was trading at a high of $ 1,563.30 level.

Underneath the horizontal line, observe that the yellow metal is bolstered by 5-day and 13-day moving averages, which are presently situated at $ 1,559.00 level. Gold, on the other hand, may range versus the US dollar during the next trading session. Besides, it is unlikely that its rate can break through the rising wedge in the south due to the support provided.

XAUUSD Short-term Trend: Ranging

The precious metal trimmed losses and returned to the $ 1,557.07 level support area. The consolidation pattern stays in the outlook. A breakthrough may lead to further advances.

Nevertheless, this may usher in the gold price to test prior highs. The inability to break higher can lead to price consolidation or correction to decrease.

Instrument: XAUUSD
Order: Sell
Entry price: $1,557.07
Stop: $1,575.00
Target: $1,540.00

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