Gold Awaits Breakout – It’s an Ascending Triangle this Time!

On the 2- hour chart, gold is testing $1,232 probably for the sixth time since Oct 18 and now it seems to violate this level as bears seem..


Despite the volatile session, gold prices are stuck in a narrowly mixed trading range of $1,227 – $1,238 as worries over US corporate earnings and a slowdown in global economic growth pressured Asian shares. This week, the investor focus is likely to be on the US non-farm payroll and unemployment rate which are due on Friday. In the meantime, it will be nice to trade the technical side of the market. Check out a quick trade plan for today…

GOLD Technical Analysis – Ascending Triangle Pattern

On the 2- hour chart, gold is testing $1,232 probably for the sixth time since October 18 and now it seems to violate this level as bears seem to dominate the market.

The yellow metal is holding below a solid resistance level of $1,238 which is extended by an ascending triangle pattern. These patterns typically break upward, but the 20 & 50 periods EMA are giving an opposite view.

Support Resistance
1228.39 1240.69
1223.65 1248.25
1211.35 1260.55
Key Trading Level: 1235.95

Market Sentiment

Weekly – Strong Buy
Daily – Buy
Hourly – Bearish

GOLD – XAU/USD – Trading Idea

It will be nice to stay bearish below $1,233 with a stop above $1,236 and a take profit of $1,229 and $1,227. Good luck!

ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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