#XAUUSD @ 1,996.02 Gold price clings to gains above the 20-day EMA, boosted by risk aversion. (Pivot Orderbook analysis)
…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]
- Gold price clings to gains above the 20-day EMA, boosted by risk aversion.
- Mixed data in the United States suggests that the economy is slowing.
- XAU/USD Price Analysis: Downside expected beneath $2000., with sellers eyeing $1950.
The pair currently trades last at 1996.02.
The previous day high was 1990.91 while the previous day low was 1974.13. The daily 38.2% Fib levels comes at 1984.5, expected to provide support. Similarly, the daily 61.8% fib level is at 1980.54, expected to provide support.
Gold price advanced and printed a new weekly high at around $2003, though it faltered to hold its gains above the $2000 mark. Deteriorated risk appetite sponsored by fears around the United States (US) banking system, increased flows to safe-haven assets. Therefore, the XAU/USD climbs 0.41%, trading at $1997.10, after hitting a low of $1976.26.
Wall Street finished the session with losses. Investors’ woes about First Republic Bank admitting a loss of $100 billion worth of deposits in Q1 2023 reignited worries of a spread contagion around the system. Another tranche of US economic data revealed earlier witnessed Consumer Confidence sliding to a level last seen in July 2022, at 101.3, vs. expectations of 104.0, and New Home Sales in March rising, 9.6% MoM, exceeding estimates of 1.1%.
On other data, the Dallas Fed Services Index dropped to -14.4 in April, an improvement compared to March’s -18, while the Richmond Fed Indices, both readings plunged, a signal that the economy is decelerating.
Despite all that, the greenback slightly capped the XAU/USD’s rally. The US Dollar Index (DXY), a gauge of the buck’s value vs. a basket of six currencies, edges high 0.55%, at 101.872, although US Treasury bond yields continued to tumble.
That comes as speculations of a Federal Reserve (Fed) rate hike for May, had diminished, as reported by the CME FedWatch Tool. Odds for a 25 bps lie at 74.7%, less than Monday’s 90.5% chance, as reflected by US bond yields. However, investors have begun discounting two 25 bps rate cuts by the year’s end, as shown by the CME probabilities table.
Gold remains supported by the 20-day Exponential Moving Average (EMA) at $1989.07, a dynamic demand zone from which XAU/USD has bounced. The XAU/USD uptrend is intact, and further upside is expected as the Relative Strength Index (RSI) bounces off the 50 levels and aims toward the 60 level. Moreover, the Rate of Change (RoC) indicates sellers are losing momentum. That said, the XAU/USD path of least resistance is upwards. The XAU/USD first resistance would be the $2000 mark. A breach of the latter and Gold could climb towards the April 5 swing high at $2032.13, followed by the YTD high at $2048.79.
Technical Levels: Supports and Resistances
XAUUSD currently trading at 1997.31 at the time of writing. Pair opened at 1989.12 and is trading with a change of 0.41 % .
| Overview | Overview.1 | |
|---|---|---|
| 0 | Today last price | 1997.31 |
| 1 | Today Daily Change | 8.19 |
| 2 | Today Daily Change % | 0.41 |
| 3 | Today daily open | 1989.12 |
The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 1995.25, 50 SMA 1922.41, 100 SMA @ 1889.02 and 200 SMA @ 1801.78.
| Trends | Trends.1 | |
|---|---|---|
| 0 | Daily SMA20 | 1995.25 |
| 1 | Daily SMA50 | 1922.41 |
| 2 | Daily SMA100 | 1889.02 |
| 3 | Daily SMA200 | 1801.78 |
The previous day high was 1990.91 while the previous day low was 1974.13. The daily 38.2% Fib levels comes at 1984.5, expected to provide support. Similarly, the daily 61.8% fib level is at 1980.54, expected to provide support.
Note the levels of interest below:
- Pivot support is noted at 1978.53, 1967.94, 1961.75
- Pivot resistance is noted at 1995.31, 2001.5, 2012.09
| Levels | Levels.1 |
|---|---|
| Previous Daily High | 1990.91 |
| Previous Daily Low | 1974.13 |
| Previous Weekly High | 2015.13 |
| Previous Weekly Low | 1969.26 |
| Previous Monthly High | 2009.88 |
| Previous Monthly Low | 1809.46 |
| Daily Fibonacci 38.2% | 1984.50 |
| Daily Fibonacci 61.8% | 1980.54 |
| Daily Pivot Point S1 | 1978.53 |
| Daily Pivot Point S2 | 1967.94 |
| Daily Pivot Point S3 | 1961.75 |
| Daily Pivot Point R1 | 1995.31 |
| Daily Pivot Point R2 | 2001.50 |
| Daily Pivot Point R3 | 2012.09 |
[/s2If]
Nehcap Expert Advisor
The NEHCAP MT4 EA is high quality professional trading system geared to generate returns without using GRID or martingales. Each trade has strict risk per trade parameter. The pairs under management include EURUSD, GBPUSD, AUDCAD, AUDNZD,GBPAUD, EURAUD, EURCAD, CHFJPY and many more.
The system is trading live: LIVE ACCOUNT TRACKING
You can run it free. Apply for a free trial and track our account. Buy the system or use profit share mechanism to generate returns on your MT4.
Join Our Telegram Group
