Gold Price Analysis: XAU/USD to retain an overall bullish framework above $1857 – Commerzbank

Gold is consolidating. Notwithstanding, XAU/USD stays neutral to bullish while above the $1857 level, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

See – Gold Price Analysis: Lower US Real Yields to lift XAU/USD towards $1943/66 – Credit Suisse

2019-2021 support line comes in at $1722

“Gold’s high of $1916.91 has not been confirmed by the daily RSI and the market has basically been consolidating ever since. The move has held over the two-month uptrend at $1862 and last week’s low at $1857 and while underpinned here we will continue to favour the topside.” 

“Longer-term, we target the $1959/65 November 2020 high and the 2021 high. These guard the 1989/78.6% retracement and the $2072 2020 peak. Longer-term, we believe that this will also be overcome.” 

“Below $1857 would alleviate upside intent and target the 200-day ma at $1840.54 and the 55-day ma at $1796, where the market will ideally stabilize and recover.”

“Key support is the $1722 2091-2021 uptrend. While above here we will assume a longer-term upside bias.”