Gold Price Analysis: XAU/USD remains trapped between two key barriers, awaits Powell – Confluence Detector

Gold’s (XAU/USD) healing from seven-month troughs stay contained, thanks to the surge in the US Treasury yields throughout the curve, as reflation trades dominate amid covid vaccine and stimulus-driven optimism. The benchmark 10-year US treasury yields rose nearly four foundation factors to refresh each year tops of 1.3822%.

Heading into the new week, the dangers continue to be skewed to the draw back for gold, as interest turns in the direction of the Fed Chair Jerome Powell’s stories for the subsequent route in the metal.

How is located on the technical graphs in advance of the key tournament risk?

Gold Price Chart: Key resistances and supports
The Technical Confluences Indicator indicates that gold is maintaining the lower, searching to project effective assist at $1779, the confluence of the Fibonacci 23.6% one-week and SMA10 four-hour.

A breach of the remaining may want to expose the Fibonacci 61.8% one-day at $1775. The bears will then goal the pivot factor one-day S1 at $1767.

The remaining line of protection for the XAU bulls is aligned at $1753, the pivot factor one-week S1.

On the flip side, the shoppers want to locate a company foothold above $1790, the confluence of the preceding four-hour, SMA100 one-hour and SMA5 one-day, in order to revive the recuperation momentum.

The next applicable upside barrier is viewed at $1803/04, the intersection of the preceding month low and Fibonacci 61.8% one-week.

If the metallic tops the latter on a sustained basis, the $1808 hurdle would be put to test. That stage is the assembly factor of the SMA200 one-hour and SMA10 one-day.


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