Gold Remains Bullish Despite Yesterday's Losses

Published 19/05/2017, 05:52 pm

gold
Gold was nursed yesterday with a dropping pressure at 1246 low, but still remains above 200-EMA (D1) by 80-pips, which sends a message that AUD/USD remains bullish despite severe losses yesterday -$19 after positive unemployment claims beating expectations.

US dollar performance remained weak yesterday but managed to peek at 97.96 with +$0.6, but expectation were build for more point basis considering that US Dollar Index anchored yesterday at 79.26 2017-low which indicates US current political drama still tackling greenback rallies.

Technically, gold is currently trading 1245 after clocking 1252 high showing recovery symptoms. Still above 200-EMA and and 100-EMA daily and has not penetrated the this week rising trend line (H1).

As for fundamentals, US data shows nada, and White House is still wallowing with Trump's scandal-isms, which supports gold bullish forces.

Analysts at ANZ polished a latest report on gold this Friday, noting that the yellow metal is likely to surpass $ 1300 mark, even without ‘safe-haven’ buying.

Technical Overview:

Trend: Bullish / Sideways

Resistance levels: R1 1251, R2 1255.68, R3 1260, R4 1265 (H1)

Support levels: S1 1246.92, S2 1240.79, S3 1237.53, S4 1233.23 (H1)

Comment: Gold remains bullish over all despite yesterday dips. A close above R1 is bullish. A penetration for R1 level re-embrace intensive bullish forces seeing R&R3 level. In case gold hits R4 expect minor retracements as yesterday's and previous scenarios, A close above R4 calls for further advance seeing 1280+. Dips should fight strong level S1. A close below 1238 is needed to bearish forces to take action and gold trend will sift downward.

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