Sunday, 11 February 2018


GOLD (XAU/USD)
WEEKLY PRICE ACTION ANALYSIS

The price is being held in channel marked by the yellow trend lines M and N as shown in our chart below. Price is approaching the immediate strong support zone around 1296.81 marked by the red horizontal line H. You can also see the moving average flattening.

A close below H may lead price to retest the lower channel trend line support N. Depending on the momentum and price action then, candle close below N may lead price to retest the previous lows around 1142.16 support zone marked S.

On the other hand, a strong bounce off H may lead price to retest the previous highs in the M trend line resistance zone around 1358.62. Close above M may see price aim for higher highs around 1458.71


For now, keeping the trading within the channel marked by the yellow trend lines as we await larger time frame confirmation.




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