Key Highlights
- Gold started a fresh increase above the $3,375 resistance.
- A key bullish trend line is forming with support at $3,345 on the 4-hour chart.
- WTI Crude Oil prices could restart decline and trade below $66.50.
- USD/JPY is consolidating gains below the 148.50 resistance.
Gold Price Technical Analysis
Gold prices formed a base above $3,300 and started a fresh increase. The bulls gained strength and were able to push the price above the $3,375 resistance.
The 4-hour chart of XAU/USD indicates that the price settled above the $3,380 level, the 100 Simple Moving Average (red, 4 hours), and the 200 Simple Moving Average (green, 4 hours). A high was formed at $3,402 and the price is now consolidating gains.
On the downside, initial support is near the $3,380 level. The first key support is $3,368. The next major support is near the $3,355 level. The main support is now $3,345. There is also a key bullish trend line forming with support at $3,345 on the same chart.
A downside break below the $3,345 support might call for more downsides. The next major support is near the $3,320 level. On the upside, immediate resistance is near the $3,400 level.
The next major resistance sits near the $3,412 level. The main barrier could be $3,420. A clear move above the $3,420 resistance could open the doors for more upsides. The next major resistance could be $3,440, above which the price could rally toward the milestone level of $3,450.
Looking at WTI Crude Oil, the price shows many bearish signs and could decline further below the $65.00 support zone.
Economic Releases to Watch Today
- BoE’s Governor Bailey speech.
- Fed’s Chair Powell speech.
