Gold Bulls may continue to push the price higher towards 2013 high. The Gold is turning into impulsive after breaking the corrective phase. Let’s check Gold Technical Analysis for more levels and insights.
March 6, 2020, | AtoZ Markets – Recently, Gold successfully broke above $1650 area, after an extended period of volatility. After retracing from $1585 area, Gold Bulls push higher quite firmly and currently trading at $1680 area. The price of Gold may sustain further higher in the coming days.
Gold is back in play and continuously pushing higher on the fear of Coronavirus outbreak. The Gold again proved itself as a safe-haven instrument to invest in this global economic crisis. After Coronavirus hit the world’s biggest economic country in the United States of America, investors are in a rush to find the safe-haven markets like Gold. On the other hand, California announces an emergency on the outbreak of Coronavirus that killed 11 Americans and infected more than 100 others.
It should be noted, the United States Non-Farm Employment Change and Unemployment Rate news is going to be published today. In this case, if the actual comes higher than forecast, USD may gain the momentum against the Gold and add to the confluence for upcoming retracement.
Gold Bulls Push Higher may Continue after Retracement
Gold is currently residing near $1670 area and trying to push lower. After breaking above $1650 area, Gold is facing resistance at $1680. As per current price action, the Bears may take over the market for a while before Bulls continue pushing higher.
Image: Gold 4 Hour Chart
According to the 4-hour chart, the price of Gold is now trading at $1670 area. After an impulsive and non-volatile momentum, Gold may going to retrace now. If the price able to retrace down towards $1650 support area, the Gold Bulls push higher towards $1690 in the coming days.
Moreover, the dynamic level of 20 EMA is residing below the $1650 support area. Along with the Kijun line and the Tenkan line. The dynamic levels of 20 EMA may pull the price down as a Mean Reversion. The Kijun line and the Tenkan line may work as confluence of the dynamic level of 20 EMA. On the other hand, the MACD histogram volumes are residing above 0.00 level and gradually sloping down, which is a good indication of Bearish pressure may take over the market soon.
Gold Bullish Pressure may Sustain Further Higher
According to the Daily chart, the Gold is now residing $1675 area and trying to push higher. After a retracement from $1585 area, the price reached at $1650. The Wednesday’s candle was rejected $1650 area and close with Bearish pin bar. The Gold able to take over the $1650 area with a strong Bullish bar on last Thursday. If the price holds the Bullish momentum, the Gold may reach higher at $1700 region in the coming days. Moreover, the MACD lines are residing above the 0.00 level from an extended period, which is a good indication of Bullish momentum may sustain further.
Image: Gold Daily Chart
To conclude, the Gold price may rally higher towards $1700 area but certain correction may be seen along the way.