Market Overview

XAU/USD Technicals – 1,735 Resistance Currently in Play

8 Hourly Chart

http://forexblog.oanda.com/mserve/XAUUSD_0911128H.PNG

Price has reached 1,735 support turned resistance after bouncing from 1,675. Stochastic indicator has also climbed higher almost hitting 100.

5 Min Chart

http://forexblog.oanda.com/mserve/XAUUSD_091112M5.PNG

On the 5 min Chart, rally appears to have stalled around 1,730 – 1,738, with the recent swing high just 15 mins ago unable to touch the earlier swing high, hinting that bullish momentum may be very stretched right now.

Gold holdings has also reached record highs, hence the failure to breach 1,735 significant resistance will have added implications. However, we should still be alert for any Central Bank intervention that could propel Gold prices even higher amidst a risk off environment.

 

Get OANDA's exclusive weekly Market Pulse FX

Email Address: Preferred Format:

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

Posted-In: News Forex Global Markets

 

Related Articles

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters