Trading Signal for GOLD (XAU/USD) for August 14-15, 2023: buy above $1,906 (2/8 Murray – strong support)
August 14, 2023 5:29 pm
Early in the American session, gold (XAU/USD) is trading at 1,909.57 below the 21 SMA and inside the downtrend channel formed since July 26.
We can see that at the beginning of the American session, gold reached the low of 1,905 and is expected to consolidate around this area because it represents strong weekly support and at the same time this level coincides with the psychological level of $1,900.
If gold bounces above this area (2/8 Murray), it could be seen as an opportunity to buy, only if the instrument consolidates above 1,906.
Gold has accumulated two weeks of downward movement. So, a recovery is likely to follow in the next few days. The key will be to wait for a break and consolidation above 1,917.
In case this scenario occurs and gold consolidates above 1,917, we could expect it to reach 1,937 (4/8 Murray) and even reach the 200 EMA located at 1,941.81.
The metal has been under bearish pressure in the last few days due to the strength of the USDX and the increase in US Treasury yields. This morning, we see that the 10-year US Treasury yield is hovering around 4.21%. A technical correction is expected to occur in the next few days which could favor gold.
Our trading plan for the next few hours is to buy gold at current price levels around 1,906, with targets at 1,911 and 1,917. In case gold breaks 1,918, we could resume buying with the target at about 1,937. The eagle indicator is giving a positive signal.
The material has been provided by InstaForex Company – www.instaforex.com
Early in the American session, gold (XAU/USD) is trading at 1,909.57 below the 21 SMA and inside the downtrend channel formed since July 26.
We can see that at the beginning of the American session, gold reached the low of 1,905 and is expected to consolidate around this area because it represents strong weekly support and at the same time this level coincides with the psychological level of $1,900.
If gold bounces above this area (2/8 Murray), it could be seen as an opportunity to buy, only if the instrument consolidates above 1,906.
Gold has accumulated two weeks of downward movement. So, a recovery is likely to follow in the next few days. The key will be to wait for a break and consolidation above 1,917.
In case this scenario occurs and gold consolidates above 1,917, we could expect it to reach 1,937 (4/8 Murray) and even reach the 200 EMA located at 1,941.81.
The metal has been under bearish pressure in the last few days due to the strength of the USDX and the increase in US Treasury yields. This morning, we see that the 10-year US Treasury yield is hovering around 4.21%. A technical correction is expected to occur in the next few days which could favor gold.
Our trading plan for the next few hours is to buy gold at current price levels around 1,906, with targets at 1,911 and 1,917. In case gold breaks 1,918, we could resume buying with the target at about 1,937. The eagle indicator is giving a positive signal.
The material has been provided by InstaForex Company – www.instaforex.com
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