Gold Bulls Holding the Bias Over $1,850 Area – Will Climb Upside?


Gold has become volatile and corrective, but still remains above $1,850 to $1,860 support area. Gold bulls are holding the bullish bias over $1,850 significant event area. Will the price climb upside in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s XAU/USD Technical Analysis. 

June 16, 2021, | AtoZ Markets – Gold price decline today morning during the Asian session against the U.S. Dollar. Gold is currently trading around $1,858 area and trying to push downside. After rejecting $1,915 to $1,900 resistance area, the bears have regained momentum and pushed the price down impulsively. However, the bears failed to continue the bearish pressure below $1,860 to $1,850 support level. As per the current price action, the price may recover higher towards $1,880 to $1,885 area in the coming days.

Gold Bulls Holding the Bias as the Investors Are Still Optimistic

XAU is currently residing near $1,858 price area and trying to push lower. However, the price is still residing below the dynamic level of 20 EMA on the intraday chart.

Gold Bulls

Image: Gold 4 Hour Chart

According to the 4-hour chart, Gold bulls holding the bias and currently trading around $1,858 area. As per the current scenario, if the price can have an impulsive bullish candle close over $1,850 to $1,860 support level, the bulls may regain momentum and push the price upward towards $1,880 to $1,885 area in the coming days.

In addition, the dynamic level of 20 EMA is currently residing above the price, which may work as strong resistance to push the price down. However, the bulls may regain momentum if the price can have an impulsive bullish candle close over it. Along with this, the MACD lines are currently residing below the 0.00 level and may have a bullish crossover. It indicates that the bulls may regain momentum in the days ahead.

XAU May Retrace Higher

According to the daily chart, Gold bulls are holding the bias over the psychological support level. As per the current price action, the price may retrace higher towards $1,880 to $1,885 area in the coming days. So, if the price retraces upside towards $1,880 to $1,885 resistance area and rejects with an impulsive bearish candle, the bears may continue the bearish pressure towards $1,860 to $1,850 area as a first target. The second target will be $1,810 to $1,800 area if the price can break below $1,860 to $1,850 support area in the coming days.

Gold Bulls

Image: Gold Daily Chart

Furthermore, the dynamic level of 20 EMA is currently residing above the price. Along with the Bollinger Bands middle band. So, the dynamic level may work as strong resistance to push the price downside. Besides, the Bollinger Bands middle band may work as a confluence of the dynamic level in the process. However, the Bollinger Bands’ lower band is holding the price as strong support, which indicates that the price may retrace upward at least towards the dynamic level in the days ahead.

To conclude, as long as the price residing over $1,850 to $1,860 support level, the bias will remain bullish. An impulsive daily close will help to identify the definite momentum in the coming days. 

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