Gold price remains vulnerable due to Dollar strength but holds above key support

Gold price has broken the bearish flag formation we showed yesterday and has given a new bearish signal. Gold price is vulnerable to a move towards $1,400 and lower. Gold bulls remain in control of short-term trend as long as price holds $1,400.

Black line – short-term resistance (broken)

Red line – short-term support

Red rectangle – key support short-term area

Blue rectangle -target if support fails to hold

Gold price is challenging the red rectangle area and the red upward sloping trend line. Breaking below this trend line will open the way for a move towards $1,350-60. Gold price is vulnerable to the downside. Resistance is at $1,430 for the short-term. Recapturing this level will increase the chances for a new higher high. So far Gold price since the beginning of July is making higher highs and higher lows. This confirms bulls are in control. This will change only with the break of the red trend line. So traders should keep a close eye on the $1,400-$1,415 area.

The material has been provided by InstaForex Company – www.instaforex.com

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MOKAR

Author: MOKAR

Mula berdagang dalam pasaran forex sejak tahun 2003. Manakala pasaran bursa saham tempatan dan global pada tahun 2018. Menjadikan trading online sebagai kerjaya sepenuh masa pada tahun 2019. Kerjaya sebelum ini adalah seorang salesman kereta. Berpengalaman dengan pelbagai teknik dan perguruan tetapi akhirnya sangat serasi dengan teknik FMCBR @ Fibo Musang melalui guruku Cikgu Baha & Cikgu Zul.

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