Trading Signal for Gold (XAU/USD) for June 5-6, 2023: buy above $1,937 (7/8 Murray – bearish channel)
June 5, 2023 4:22 pm
Early in the American session, Gold (XAU/USD) is trading around the 7/8 Murray line located at 1,937. We can see that gold reached a low at about 1,938.19. Since then, we foresee a strong technical bounce ahead.
Murray’s 7/8 line has turned out to be a strong rebound point. In the next few hours, gold is expected to consolidate above this level. So, we could predict it will reach the top of the downtrend channel around 1,961 and even reach the 21 SMA located at 1,978.
On the other hand, in case gold falls below 1,937, there is weekly support around 1,925, a level that coincides with the daily S2. In case gold reaches this level, it could be seen as an opportunity to buy with targets at around 1,961.
In the next few hours, surveys by the S&P Global and ISM (PMIs) for the United States will be published and the data is expected to be positive. In case forecasts come true, we could expect gold to weaken to 1,925. If the data is negative for the United States, we could expect a rebound above 1,937 and the price could reach 1,950 and 1,961.
Besides, we can see that the eagle indicator is showing extremely oversold signs. Thus, gold is expected to recover and reach the 1,978 level in the next few days. The instrument could even reach the psychological level of $2,000.
Our trading plan is to buy above 1,937 (7/8 Murray) with targets at 1,950 and 1,960.
The material has been provided by InstaForex Company – www.instaforex.com
Early in the American session, Gold (XAU/USD) is trading around the 7/8 Murray line located at 1,937. We can see that gold reached a low at about 1,938.19. Since then, we foresee a strong technical bounce ahead.
Murray’s 7/8 line has turned out to be a strong rebound point. In the next few hours, gold is expected to consolidate above this level. So, we could predict it will reach the top of the downtrend channel around 1,961 and even reach the 21 SMA located at 1,978.
On the other hand, in case gold falls below 1,937, there is weekly support around 1,925, a level that coincides with the daily S2. In case gold reaches this level, it could be seen as an opportunity to buy with targets at around 1,961.
In the next few hours, surveys by the S&P Global and ISM (PMIs) for the United States will be published and the data is expected to be positive. In case forecasts come true, we could expect gold to weaken to 1,925. If the data is negative for the United States, we could expect a rebound above 1,937 and the price could reach 1,950 and 1,961.
Besides, we can see that the eagle indicator is showing extremely oversold signs. Thus, gold is expected to recover and reach the 1,978 level in the next few days. The instrument could even reach the psychological level of $2,000.
Our trading plan is to buy above 1,937 (7/8 Murray) with targets at 1,950 and 1,960.
The material has been provided by InstaForex Company – www.instaforex.com
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