Gold remains vulnerable to a move lower towards $1,380-70

Gold bulls tried to recapture the short-term resistance area of $1,415-25 but where not strong enough. Gold price remains close to the $1,400 resistance and I believe that next week it is more probable to break it and move towards $1,380.

Blue line – bearish divergence

Green line – trend line support

Red rectangle -support area

Blue rectangle – target if support breaks

Gold price should move towards the green trend line support and the blue rectangle if price breaks below $1,400. So far the medium-term trend remains bullish but in the short-term we see some warning signs by the RSI. The bearish divergence that we warned last week so far has brought weakness in price and a short-term reversal. This reversal is most probably not finished and the pull back could reach the green trend line support. Key short-term support at $1,400. Resistance at $1,415-25.

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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