Gold: bullish pattern violated, 2,048 as first target
May 4, 2023 1:27 pm
The price of gold dropped a little today after reaching 2,067 new high. After its amazing rally, a temporary drop was natural. The rate came back to test and retest the near-term support levels before jumping higher again. It’s located at 2,042 at the time of writing.
Lanter, the ECB and the US data should bring more action on this market. The Main Refinancing Rate is expected at 3.75%, but the Monetary Policy Statement and the ECB Press Conference should shake the price. In addition, the US is to release the Unemployment Claims and Trade Balance data.
Tomorrow, the NFP, Average Hourly Earnings, and Unemployment Rate data should move the price.
XAU/USD Up Channel!
As you can see on the H1 chart, the rate failed to stay above the broken resistance of 2,048 signaling a correction. It has developed a flag pattern inside the ascending channel. The rate escaped from that minor down channel signaling that the retreat ended.
The bias is bullish as long as it stays within the ascending channel’s body, above the uptrend line. Now, it challenges the weekly R3 (2,043) static resistance.
XAU/USD Forecast!
Staying above the uptrend line and closing again above 2,048 validates further growth. This suggests a buying opportunity. The former high of 2,067, 2,070 historical level, and the channel upside line represent upside targets if Gold continues to grow.
The material has been provided by InstaForex Company – www.instaforex.com
The price of gold dropped a little today after reaching 2,067 new high. After its amazing rally, a temporary drop was natural. The rate came back to test and retest the near-term support levels before jumping higher again. It’s located at 2,042 at the time of writing.
Lanter, the ECB and the US data should bring more action on this market. The Main Refinancing Rate is expected at 3.75%, but the Monetary Policy Statement and the ECB Press Conference should shake the price. In addition, the US is to release the Unemployment Claims and Trade Balance data.
Tomorrow, the NFP, Average Hourly Earnings, and Unemployment Rate data should move the price.
XAU/USD Up Channel!
As you can see on the H1 chart, the rate failed to stay above the broken resistance of 2,048 signaling a correction. It has developed a flag pattern inside the ascending channel. The rate escaped from that minor down channel signaling that the retreat ended.
The bias is bullish as long as it stays within the ascending channel’s body, above the uptrend line. Now, it challenges the weekly R3 (2,043) static resistance.
XAU/USD Forecast!
Staying above the uptrend line and closing again above 2,048 validates further growth. This suggests a buying opportunity. The former high of 2,067, 2,070 historical level, and the channel upside line represent upside targets if Gold continues to grow.
The material has been provided by InstaForex Company – www.instaforex.com
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