FxWirePro: Gold forms Bearish pattern, good to sell on rallies
Pattern Formed -bearish AB=CD Major support - $1203 (trend line joining $1146 and $1178.20). Major resistance - $1221 (100- day EMA). Major support - $1189 (7- day EMA). The yellow metal declined sharply from the high of…
Major support - $1203 (trend line joining $1146 and $1178.20).
Major resistance - $1221 (100- day EMA).
Major support - $1189 (7- day EMA).
The yellow metal declined sharply from the high of $1218.90 after Fed chairman Speech. Fed Chair Janet Yellen said it “makes sense” to hike interest rates. Gold has broken $1200 level and declined till $1197.25. It is currently trading around $1202.
Market awaits U.S President Trump inaugural speech on Jan 20th for further direction.
Gold major resistance is around $1220 (100- day EMA) and any break above targets $1234/$1247 (50% retracement of $1375 and $1122) in the short term.
On the lower side, immediate support is around $1196 (200 H MA) and any indicative break below targets $1179 (30- day EMA)/$1170 (daily Kijun-Sen)/$1159 (61.8% retracement of $1122 and $1218.94).
It is good to sell on rallies around $1203-$1205 with SL around $1219 for the TP of $1179/$1170
