Published On: Wed, Feb 22nd, 2017

XAU/USD: technical analysis

InstaForex

XAU/USD, D1

On the daily chart, the instrument is trading in the upper Bollinger band. The price remains above the EMA14, EMA65 and EMA130, but below the SMA200 that are horizontal. The RSI is testing its longer MA, representing Bearish dynamics. The Composite is testing its most recent support.

XAU/USD, H4

On the 4-hour chart, the instrument is trading just below the middle MA of Bollinger Bands. The price remains above its moving averages that start turning horizontally. The RSI is testing its longer MA from below. The Composite is showing similar dynamics.

Key levels

Support levels: 1219.07 (local lows), 1207.10 (50% Fibonacci retracement), 1184.07 (October 2015 highs).

Resistance levels: 1244.52 (61.8% retracement), 1275.80 (March 2016 highs), 1303.04 (August 2016 lows).

Trading tips

The price is testing its 61.8% correction. There is a chance of a downward rebound.

Short positions can be opened from the level of 1219.07 with targets at 1207.10, 1184.07 and stop-loss at 1228.35. Validity – 3-5 days.

Long positions can be opened after the price consolidation above the level of 1244.52 with the target at 1275.80 and stop-loss at 1232.60. Validity – 3-5 days.

Аналитика Форекс

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