HomeContributorsTechnical AnalysisGold Finds Support Near 20-day SMA and Holds Above 2,000

Gold Finds Support Near 20-day SMA and Holds Above 2,000

Gold is finding a strong support level near the short-term 20-day simple moving average (SMA) and remains well above the 2,000 level, confirming the long-term upside structure. The RSI is pointing north above the neutral threshold of 50, while the MACD is losing some momentum beneath its trigger line in the positive region.

Should the pair manage to strengthen its positive momentum, the next resistance could come around 2,050. A break above the aforementioned level would shift the bias to a more bullish one and open the way towards the 2,079.29 record high before the focus turns to the 2,100 psychological mark.

However, if prices are unable to break higher in the next few sessions, the risk may be to the downside, meeting first the 50-day SMA at 1,998 ahead of the 1,970 barrier. The next key support to watch lower down is 1,935 and the ascending trend line near 1,920.

To sum up, the outlook currently remains positive since prices are holding above all the moving average lines and the rising trend line. 

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