7 Apr 2015
Gold: is $1200 a key reversal point? – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Dhwani Mehta, explains that 1200 might act as a key reversal point for XAU/USD, expecting a bounce from the mentioned level to 1225 if tomorrow’s FOMC minutes come out dovish.
Key Quotes
“Technically, on the daily chart, gold prices are seen hovering around 5-DMA located at 1211.24 levels and tries to recover some lost ground ahead of US open. Moreover, gold prices have been capped by a strong resistance zone around 100-DMA placed at 1214.06 levels and the yellow metal seems to fail every attempt to the upside.”
“The daily RSI at 57 aims lower indicating more room for declines and hence the pair may drop further and could test the critical USD 1200 Fib level which happens to be almost 50% retracement of 1178-1224.”
“USD 1200 levels is expected to act as a key reversal point and gold prices are expected to rebound from that level back to 1223-1225 resistance zone on dovish Fed minutes.”
“A sustained break above that range on daily basis, gold prices are expected to test the next major upside barrier at 1245-1250 levels later in the week.”
Key Quotes
“Technically, on the daily chart, gold prices are seen hovering around 5-DMA located at 1211.24 levels and tries to recover some lost ground ahead of US open. Moreover, gold prices have been capped by a strong resistance zone around 100-DMA placed at 1214.06 levels and the yellow metal seems to fail every attempt to the upside.”
“The daily RSI at 57 aims lower indicating more room for declines and hence the pair may drop further and could test the critical USD 1200 Fib level which happens to be almost 50% retracement of 1178-1224.”
“USD 1200 levels is expected to act as a key reversal point and gold prices are expected to rebound from that level back to 1223-1225 resistance zone on dovish Fed minutes.”
“A sustained break above that range on daily basis, gold prices are expected to test the next major upside barrier at 1245-1250 levels later in the week.”