25 Mar 2015
Gold might test $1185 before rebounding higher – FXStreet
FXStreet (Barcelona) - According to Dhwani Mehta, FXStreet Editor and Analyst, XAU/USD might see a fall towards the 5-DMA at 1185 before resuming its upside towards 1191.16.
Key Quotes
“The pair, currently, trades lower at 1189.66 levels, bouncing-off day’s high at 1192.16 levels as the pair faces strong trend line resistance at 1194.75 levels.”
“XAU/USD inched lower largely on the back of profit booking after the yellow metal rallied to fresh three week peak in the previous session. However, a broadly weaker US dollar cushions the downside.”
“The pair is seen struggling around 1189, and is expected to fall from current levels and may test the 5-DMA support at 1185 levels before resuming its upside momentum. The daily RSI has turned flattish at 50 levels suggesting potential a break out on either side.”
“The pair is expected to rebound higher from 5-DMA and retest daily highs at 1191.16. A break above that level, the pair may extend further to test the trend line resistance, beyond which XAU bulls are likely to dominate taking XAU/USD higher to 1200 levels.”
“However, on the release of US consumer durables data later in the session, XAU/USD may retreat as the data is expected to come better than the previous reading which may boost the US dollar.”
Key Quotes
“The pair, currently, trades lower at 1189.66 levels, bouncing-off day’s high at 1192.16 levels as the pair faces strong trend line resistance at 1194.75 levels.”
“XAU/USD inched lower largely on the back of profit booking after the yellow metal rallied to fresh three week peak in the previous session. However, a broadly weaker US dollar cushions the downside.”
“The pair is seen struggling around 1189, and is expected to fall from current levels and may test the 5-DMA support at 1185 levels before resuming its upside momentum. The daily RSI has turned flattish at 50 levels suggesting potential a break out on either side.”
“The pair is expected to rebound higher from 5-DMA and retest daily highs at 1191.16. A break above that level, the pair may extend further to test the trend line resistance, beyond which XAU bulls are likely to dominate taking XAU/USD higher to 1200 levels.”
“However, on the release of US consumer durables data later in the session, XAU/USD may retreat as the data is expected to come better than the previous reading which may boost the US dollar.”