Price of Gold Holding Strong in Massive Gains Near $1,910, Next is US Retail Sales
- The price of gold began a new upward trend above the $1,900 barrier.
- On the 4-hours chart, a significant bullish trend line is developing with support close to $1,875.
- Over the 1.0780 support, the EUR/USD is consolidating its gains.
- The GBP/USD exchange rate may move higher above the 1.2300 resistance level.
Price Technical Analysis of Gold
The price of gold against the US dollar developed a base over $1,850. Once it crossed the $1,870 and $1,880 marks, the price began to rise steadily.
The XAU/USD 4-hours chart shows that the price increased over the $1,892 barrier region. Even yet, the price rose beyond $1,900 and settled significantly above the 100 simple moving average (red, 4-hour) and 200 simple moving average (green, 4-hours).
After testing $1,930, the price entered a consolidation phase. On the upside, buyers may be present close to the $1,925 mark.
An early support for the downside is located close to the $1,900 mark. Near the $1,880 mark is the next significant support. On the same chart, a significant bullish trend line with support close to $1,875 is also developing.
Under $1,865, the gold price may find it difficult to maintain its position above the $1,850 region. The price of gold could decline toward the $1,820 support under the scenario mentioned.
If the EUR/USD pair breaks through the 1.092 resistance area in the upcoming sessions, it may try to increase again.
Near the $1,930 mark, there is the next significant barrier. Any further advances might push the price up to the $1,950 resistance level, above which gold could reach the $2,000 barrier.
Economic News To Trade Today
- US Retail Sales forecasted at -0.5 versus -0.2 previous.
- US Industrial Production for December 2022 (MoM) is predicted to decrease by 0.1% vs. the preceding 0.2%.
- Forecasted UK Consumer Price Index for December 2022 (YoY): +10.6% vs. +10.7% in the prior period.
- Forecasted UK Core Consumer Price Index for December 2022 (YoY): +6.6% vs. +6.3% in the prior period.
- Forecasted Euro Zone CPI for December 2022 (YoY): +9.2% vs. +9.2% in the prior period.
Author: Amogo Solomon
- The New Zealand Dollars (NZD) Now In Focus As The RBNZ Is Set To Hike its Official Cash Rate Further
- DXY BREAKS OUT OF THE DAILY DEMAND – Strong Enough to Start a Bull Market?
- CURRENCY QUAKE: BRICS Alliance Sends Shockwaves Through US Dollar – Will the Retail Sales Say Otherwise?
- CADCHF COOKING A MASSIVE RALLY – The CXY Approaching H4 Demand.
- GOLD BECOMES INDECISIVE – DXY Stuck in Demand Zone.