For Traders

Analytical Reviews

Technical analysis

05.09.201609:22 Forex Analysis & Reviews: Technical analysis of Gold for September 5, 2016

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 has reached the short-term resistance levels by the Ichimoku cloud and this is the first important test for bulls. A breakout above the cloud and specially above the $1,350 resistance will open the way for a push to new highs. A rejection here will open the way for a deep decline towards $1,200-$1,250.

Black line - trend line resistance

Gold price is below the 4-hour Kumo (cloud). Price already once reached the Kumo and got rejected. Now the price is back up there testing short-term resistance at $1,330. A breakout above the cloud will be a bullish sign. Support is at $1,315.

Blue lines -bullish channel

Price remains inside the long-term bullish channel and above weekly kijun-sen indicator (yellow line). The long-tailed bullish candle of last week could very well be a bullish reversal hammer that will bring Gold to new highs. Bulls need to show some follow through and break $1,350 resistance to increase the chances of this candlestick pattern to get validated.

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.