Gold Outperforms in Asia – An Update on Gold Trading Signal - Forex News by FX Leaders
Gold - Violation of Triangle Pattern

Gold Outperforms in Asia – An Update on Gold Trading Signal

Posted Monday, May 14, 2018 by
Arslan Butt • 1 min read

On Monday, gold prices soared in response to a softer dollar as investors weighed the chances of fewer interest rate hikes in the United States. Today, we can expect sideways trading in gold on the back of light calendar ahead…

Gold – XAU/USD – Technical Review

During the previous week, gold continued to trade on the tight range of $1,310 – $1,317. But, the precious metal came out of the range, thanks to weaker than expected inflation from the United States for giving a bullish push to gold.

You can see on the 2 – hour chart, gold has violated the descending triangle pattern at $1,317 on the upper side. It placed a high of $1,325 on the breakage of the triangle pattern which is now working as an immediate resistance for gold. Whereas, $1,317 level is working as a support.

Gold - 2 Hour Chart

Gold – 2 Hour Chart

The leading indicators RSI and Stochastics have already oversold and investors will be favoring a bullish trade now. Considering this factor, we open a forex trading signal to buy gold above $1,320 to target $1,324 with a stop below $1,317.

Now you can share your views or questions about gold in the comment box below. Good luck and stay tuned for more trading plans.

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About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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