Gold Peaking Out of Triple Top Resistance – is it Good Time to Buy?
Arslan Butt • 1 min read
On Tuesday, GOLD prices hit a more than three-week high at $1,236 on a weaker dollar, as a trade ceasefire between the United States and China revived investor demand for riskier assets.
As per the agreement, the US and China have agreed to pause additional tariffs that keep their trade war from escalating as the two sides try again to reduce their differences. China has 90 days extension now, and in case they fail to follow the US guidelines, there will be a hike in tariff rates.
On the 2-hour chart, gold has tested $1,235 a number of times, making this level a triple top pattern. This pattern is known for a bearish reversal. But at this point, I can’t say much as the US dollar continues to trade bearish over the US-China settlement.
At present, gold is holding below a solid resistance level of $1,235 and the violation of this can bring more buys in the bullion market until $1,242 and $1246. Whereas, the support prevails at $1,230.
Key Trading Level: 1230.21
GOLD – XAU/USD – Trading Idea
We just shared a forex trading signal to buy gold above $1,234 with a stop above $1,231 and a take profit of $1,238.