Gold Continuous Winning Streak As Bulls Gain Strength

FXOpen

Gold inched higher on Wednesday, increasing the price of the yellow metal to more than $1325.00 an ounce following some key economic releases. The technical bias remains bullish because of a higher high in the recent upside move.

XAU/USD Technical Analysis

As of this writing, the precious metal is being traded near $1332 an ounce. On the upside, a hurdle can be noted near $1374, the high of the last major upside rally on monthly chart ahead of $1400, the psychological level as demonstrated with red color in the given below chart. A break and daily closing above the $1400 level shall trigger renewed buying interest, validating a rally towards the $1440 resistance zone.

Gold Continuous Winning Streak As Bulls Gain Strength

On the downside, a support may be noted around $1305, an immediate horizontal support ahead of $1300, a key horizontal support as well as psychological number and then $1280, another major horizontal support area. The technical bias shall remain bullish as long as the $1200 support area is intact.

Aussie Consumer Confidence

Although business conditions for the month of August have reached their highest level in Australia for nine years, consumer confidence has taken a dive, with unenthusiastic buyers the most pessimistic they’ve been in two years.

Business Conditions rose 1 point in August, to hit plus 15 index points, in National Australia Bank’s Monthly Business Conditions and Confidence Survey released on Tuesday.

With “most industries thriving,” the atmosphere for business is the best it’s been since early 2008 in Australia.

Trade Idea

Considering the overall technical and fundamental outlook, buying the precious metal around current levels appears to be a good strategy in short to medium term.

 

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Stay ahead of the market!

Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.

Latest articles

Analysis of XAU/USD: Gold Price Sets Historical Record
Commodities

Analysis of XAU/USD: Gold Price Sets Historical Record

As the XAU/USD chart shows, on 16th July, the gold price rose above $2460 for the first time in history. The bullish sentiment is driven by:

→ Anticipation of Fed rate cuts, as the appeal of non-yielding bullion generally increases

Shares

US Banks Set a Bullish Tone at the Start of Earnings Season

Company earnings reports for the second quarter will be a crucial driver of stock market movements in the coming weeks. Traditionally, the largest banks kick off the earnings season, and their performance indicators today are setting a bullish tone.

For

The Dollar Corrected After a Sharp Decline. Will the Uptrend Resume?
Forex Analysis

The Dollar Corrected After a Sharp Decline. Will the Uptrend Resume?

A sustained decline in the core consumer price index in the US contributed to a sharp pullback in the American currency. The GBP/USD currency pair is trading near the psychological level of 1.3000, EUR/USD buyers are attempting

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 60% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.