Daily Outlook for Monday 2 May 2022: Preventing the possibility of a buy signal in a clear and unambiguous way as happened with the failure of the major hurdle at USD 1,920 last Friday is impressive and shows: the price of gold is currently in the hands of the seller. But how long?
Image: © Alexander Limbach / stock.adobe.com
– Kurzel: XAU / USD – ISIN: XC0009655157
Price Level: $ 1,883.29000 / ounce. (FXCM) – At the time of publication of the article
- Gold – WKN: 965515 – ISIN: XC0009655157 – Kurs: $ 1,883.29000 / oz. (FXCM)
Gold price resistances: 1,920 + 1,959 + 1,973
It supports the price of gold: 1,875 + 1,865 + 1,848
Revision: After the sell-off in March, which pushed the price of gold lower from USD 2,074 to USD 1,889, a recovery began in April but failed at the USD 2,000 hurdle. Gold has been in a downtrend again since mid-April, which recently led to the USD 1,875 support with great momentum. Although the bulls were able to defend the USD 1,875 support level, the subsequent attempt to break out of USD 1,920 failed miserably last Friday.
Technical perspectives of the graph: Gold is currently falling towards the USD 1,875 level and may hit the low again and launch an attack on the short-term hurdles at USD 1,905 and USD 1,920. A rise above USD 1,920 would still result in a buy signal with an initial target of USD 1,959 and could even initiate a bullish trend reversal. Above USD 1,973, it is likely to start a rally to USD 2,015.
However, if the precious metal price now falls below USD 1,875, a massive upward momentum should start directly at USD 1,860 to maintain the chances of a turnaround and an early end of the bear market since the start of the year. March. If not, gold should move up to $ 1,848 and $ 1,820. At this point, however, another medium-term upward trend could develop.
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