08.05.201808:44 Forex Analysis & Reviews: Technical analysis of gold for May 8, 2018

Long-term review

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

Gold price is preparing a bounce towards $1,330 at least. The price is making a base around $1,310. I'm bullish on gold. This could be a short-term bounce but there are also chances of this being the start of a big move higher towards $1,400. The key moment for this scenario is the break above $1,365.

Blue line - horizontal resistance at $1,365

Red line - horizontal support

Black line - short-term resistance

Gold price has touched the 50% Fibonacci retracement for the second time and is moving above the black short-term trend line resistance. Gold has been moving sideways for a few months in a trading range between $1,365 and $1,300. Currently, at the lower end of this range, there are signs of a bounce coming. I'm bullish not only for the swing trade inside the range, but also because there are a lot of chances that gold will start a big leg higher towards $1,400. For this scenario to be confirmed, we need to break above $1,365.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.