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Gold Price Analysis: XAU/USD eyes Trump’s health updates, levels to watch – Confluence Detector

Gold (XAU/USD) is under pressure once again below $1900 after a brief recovery attempt above the latter in early trades this Monday. The optimism over US President Donald Trump’s health progress seems to fade amid looming uncertainty over the fiscal stimulus deal and the upcoming election.

Despite the US Markit and ISM Services PMI reports, the focus will remain on Trump’s health updates and the resultant impact on the global markets. Technically, let’s take a look at how gold is positioned?

Gold: Key resistances and supports

The Technical Confluences Indicator shows that Gold remains trapped between key barriers, with stiff resistance seen around $1901, which is the convergence of the Fibonacci 38.2% one-day and Fibonacci 23.6% one-week.

The next powerful resistance is aligned at $1905, the intersection of the previous high on four-hour and Fibonacci 38.2% one-month.

Acceptance above the latter is critical to extending the recovery towards $1910, the Bollinger Band one-hour Upper.

Meanwhile, the spot is testing the support at the Fibonacci 38.2% one-week of $1891, below which the SMA10 on one-day will challenge the bears’ commitment.

Further south, $1883 will get tested, where the Fibonacci 23.6% one-month lies.

A break below the latter could trigger a quick drop towards the next downside target of $1875, the Fibonacci 61.8% one-week.

Here is how it looks on the tool

About Confluence Detector

The TCI (Technical Confluences Indicator) is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.

Learn more about Technical Confluence

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


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