Gold Knocked Us Out at Stop – Bullish Channel Breakout

Gold was facing strong support around 1,305, the lower edge of a bullish channel, and that's where we enter a long position...

Written by: Arslan Butt • Thursday, April 11, 2019 • 1 min read

• Last updated: Thursday, April 11, 2019

Fellas, the lack of economic events is causing sideways movements in the market. Gold prices especially eased as investors seem to book some profit from the metal’s strong run this week. Yet I wasn’t expecting a bearish breakout on the bullish channel.

As we can see on the hourly timeframe, gold was facing strong support around 1,305, the lower edge of a bullish channel, and that’s where we enter a long position. To our hard luck, the metal broke out on the lower side, instead of continuing the bullish trend.

Anyway, gold can gain support above 50 periods EMA at 1,300 level. In case the bears continue to dominate, the next stop will be 1,296 for gold.

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ABOUT THE AUTHOR See More

Arslan Butt

Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)

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.