Gold Price Analysis: XAU/USD on the verge of a breakdown to 1,900

Gold Price Analysis: XAU/USD on the verge of a breakdown to 1,900

A wedge pattern on the 4-hour chart hints at a potential reversal to 1,900.

Gold sends mixed signals ahead of the new week’s trading; a rally to 2,000 is possible.

Gold spiked significantly this week and brushed shoulders with 1,960. The instability witnessed in the stock market saw the precious metal used as a hedging asset. The rally to 1,960 was a continuation of the uptrend started towards the end of October. The days heading to the US election shined a light on the gold, catapulting it to nee monthly levels.

XAU/USD closed the week changing hands at 1,952 after embracing support at 1,950. Gold’s immediate upside is capped by the seller congestion at 1,950. Consequently, the formation of a descending channel adds credulity to the bearish narrative. Therefore, it is likely for the precious metal to crumble in the coming week, especially if the wedge pattern support […]

About the author: StockMan
Tell us something about yourself.
Posting Guidelines
  • Do contribute something to the discussion
  • Do post factual information, analysis and your view on company valuations
  • Do disclose if you have an interest in a security
  • Do take our Terms of Use seriously
Do Not
  • Do not make low-content posts, unsubstantiated ramps or untruthful/misleading statements
  • Do not complain about a post unless you have reported it first, and not on the forum.
  • Do not post financial advice
  • Do not advertise or post sponsored content

Get involved!

Get Connected!

Come and join our community. Expand your network and get to know new people!


No comments yet