Hi guys! 👋🏻
🔔 What a year for Gold, we have witnessed a sudden excitement of Gold investors and Central Banks as the Covid-19 pandemic hit the World economy and forced many states to lock their borders and hibernate. Regardless of the beginning of the uptrend on January 1, 2016 and beginning of the new motive wave on August 27, 2018, the true excitement started on March 17, 2020. The hike of March 17 this year was similar to the one on August 12, 2010, when the US Dollar collapsed.
🔔 Central Banks of some countries when the pandemy started filled their basket with Gold. Turkish Central Bank is among the record purchasers of Gold since 2017, in 2020 the state bank has added 155.4 tonnes to it’s reserves, next goes India with 35.2 tonnes, and the most aggressive Gold buyer Russia is on third place with 27.4 tonnes, next UAE with 23.9 tonnes.
🔔 The long-awaited $2.3 trillion pandemic aid was signed by President Trump and that did not hit the US Dollar Index as much as it did during March 27, 2020 when the first stimulus bill, the so-called $2.2 trillion Cares Act was signed by President Trump. Tensions between the US and China and the new Covid-19 variance still keep the XAU/USD rate $1850. The situation may worsen as the signed $2.3 trillion pandemic aid includes measures to further bolster support for Taiwan and Tibet.
🔔 As for now, Gold is near the upper threshold of the descending channel. The precious metal against the US Dollar hit the dynamic resistance and retraced, however still keeps above the decisive level of $1850.
🔔 As seen on the chart, XAU/USD did not sharply drop after the test of the dynamic resistance and the static resistance, hence it is assumed that the price will break the resistance and continue upwards. Indicators on the same 4H chart demonstrate that Gold may continue the uptrend, MACD is over the signal line and RSI doesn’t show that the metal is overbought, Both simple moving averages 100 and 200 do support the uptrend and EMA50 has touched the price and is keeping below it, supporting the uprend.
🔔 Gold is above the lower edge of the triangle, though keeps near it, if the lower edge of the triangle is broken, the price will drop to $1859 - $1855, though should keep above $1850 for a bullish attune.
🔔 If the pair breaks above the upper edge of the triangle and the upper threshold of the descending triangle, it will proceed towards $1915, after a slight correction at $1906. An hourly chart has all three Moving averages concentrated at the price level, RSI and MACD still signal the bullish. Upcoming economic releases from the US will play a significant role on the price action.
✊🏻 Good luck with your trades! ✊🏻
If you like the idea hit the 👍🏻 button, follow me for more ideas.
🔔 What a year for Gold, we have witnessed a sudden excitement of Gold investors and Central Banks as the Covid-19 pandemic hit the World economy and forced many states to lock their borders and hibernate. Regardless of the beginning of the uptrend on January 1, 2016 and beginning of the new motive wave on August 27, 2018, the true excitement started on March 17, 2020. The hike of March 17 this year was similar to the one on August 12, 2010, when the US Dollar collapsed.
🔔 Central Banks of some countries when the pandemy started filled their basket with Gold. Turkish Central Bank is among the record purchasers of Gold since 2017, in 2020 the state bank has added 155.4 tonnes to it’s reserves, next goes India with 35.2 tonnes, and the most aggressive Gold buyer Russia is on third place with 27.4 tonnes, next UAE with 23.9 tonnes.
🔔 The long-awaited $2.3 trillion pandemic aid was signed by President Trump and that did not hit the US Dollar Index as much as it did during March 27, 2020 when the first stimulus bill, the so-called $2.2 trillion Cares Act was signed by President Trump. Tensions between the US and China and the new Covid-19 variance still keep the XAU/USD rate $1850. The situation may worsen as the signed $2.3 trillion pandemic aid includes measures to further bolster support for Taiwan and Tibet.
🔔 As for now, Gold is near the upper threshold of the descending channel. The precious metal against the US Dollar hit the dynamic resistance and retraced, however still keeps above the decisive level of $1850.
🔔 As seen on the chart, XAU/USD did not sharply drop after the test of the dynamic resistance and the static resistance, hence it is assumed that the price will break the resistance and continue upwards. Indicators on the same 4H chart demonstrate that Gold may continue the uptrend, MACD is over the signal line and RSI doesn’t show that the metal is overbought, Both simple moving averages 100 and 200 do support the uptrend and EMA50 has touched the price and is keeping below it, supporting the uprend.
🔔 Gold is above the lower edge of the triangle, though keeps near it, if the lower edge of the triangle is broken, the price will drop to $1859 - $1855, though should keep above $1850 for a bullish attune.
🔔 If the pair breaks above the upper edge of the triangle and the upper threshold of the descending triangle, it will proceed towards $1915, after a slight correction at $1906. An hourly chart has all three Moving averages concentrated at the price level, RSI and MACD still signal the bullish. Upcoming economic releases from the US will play a significant role on the price action.
✊🏻 Good luck with your trades! ✊🏻
If you like the idea hit the 👍🏻 button, follow me for more ideas.
Nothing is true, everything is permitted.
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