Will Gold Price Break Below Key Support of $1,189?


Will Gold Price Break Below Key Support of $1,189? What does the the hourly chart below? Let’s find out with this given technical analysis.

10 September, OctaFX – Gold has established a lower highs pattern, as seen in the hourly chart below, and a break below $1,189 (Sep. 4 low) would establish a lower pattern and open the doors to re-test of Aug. 18 low) and $1,160 (Aug. 16 low).

Will Gold Price Break Below Key Support of $1,189?

A break below the immediate support at $1,189 looks likely as the USD, gold’s biggest nemesis, could remain better bid today as data released on Friday showed the US wage growth figure rose at the quickest pace since 2009.

Further, the downward sloping 5-week and 10-week moving averages (MAs) indicate a bearish setup.

On the higher side, only a daily close above $1,207 (Sep. 6 high) could embolden the bulls.

Hourly Chart

Current Price: $1,194

Daily High: $1,196

Daily Low: $1,194

Trend: Bearish

Resistance

R1: $1,200 (psychological hurdle)

R2: $1,207 (Sep. 6 high)

R3: $1,215 (50-day moving average)

Support

S1: $1,189 (Sep. 4 low)

S2: $1,183 (Aug. 24 low)

S3: $1,180 (61.8% Fib R of $1,160/$1,207)

Disclaimer

This article about Will Gold Price Break Below Key Support of $1,189? was provided by OctaFX. It should substitute for professional marketing consulting. Forex margin trading involves substantial risks. Forex margin trading exposes participants to risks including, but not limited to, changes in political conditions, economic factors, and other factors. All of which may substantially affect the price or availability of one or more foreign currencies.

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