Gold at risk if it breaks the key support zone at 1900
Gold is trading between an obvious pennant formation.
A couple of things to be aware of, the inclining support line has broken to the downside.
If the USD continues to strengthen after finding a base over the last couple of weeks, we may see further selling pressure on the metal.
All eyes will be on the FED Interest Rate decision and statement this week. The move on the USD will likely dictate the direction of gold in the week ahead.
Key levels to pay attention to are found at 1900, 1870 and 1820. A break below the 1900 support zone could indicate a larger pullback.
The metal may return to the previous trending channel that had been intact since November 2019.
Sell positions will be preferred once the pennant breaks to the downside.
Any thoughts or comments are welcome!
A couple of things to be aware of, the inclining support line has broken to the downside.
If the USD continues to strengthen after finding a base over the last couple of weeks, we may see further selling pressure on the metal.
All eyes will be on the FED Interest Rate decision and statement this week. The move on the USD will likely dictate the direction of gold in the week ahead.
Key levels to pay attention to are found at 1900, 1870 and 1820. A break below the 1900 support zone could indicate a larger pullback.
The metal may return to the previous trending channel that had been intact since November 2019.
Sell positions will be preferred once the pennant breaks to the downside.
Any thoughts or comments are welcome!