Safe Haven Gold Hits Take Profit, What’s Next on the Cards? - Forex News by FX Leaders

Safe Haven Gold Hits Take Profit, What’s Next on the Cards?

Posted Tuesday, January 8, 2019 by
Arslan Butt • 1 min read

The precious metal took a bearish turn, helping us secure 30 green pips during the Asian session. Most of the sell-off was triggered as risk appetite recovered on bets that China and the United States may be agreeing on a trade deal.

Besides that, the Greenback bounced off two and a half month low of $95.64, triggering a correction in gold. Fortunately, we were up to capture this particular trade setup. Here’s the next one.

Taking a look on the technical side, the bias is bearish beneath $1,292. On the 3-hour timeframe, gold is likely to close a bullish pin bar which may send prices higher in the short-term. This pin bar candle is closing right above $1,280 support area.

So, here’s the thing – the violation of $1,280 can trigger further sell-off in gold until $1,275. Whereas, gold can bounce off above $1,280 to target $1,292 today.

All the best!

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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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