Gold Price Analysis: XAU/USD stays below 100-hour SMA
|- Gold's bounce from recent low has stalled near the 100-day SMA.
- The metal has carved out an inverse head-and-shoulders pattern.
Gold is currently trading near $1,786 per ounce, having failed to keep gains above the 100-hour Simple Moving Average (SMA) early Monday. The average failed to take out the hurdle on Friday.
Repeated rejection could bring in more chart-driven selling, yielding a re-test of the recent low of $1,760.
The immediate bias will turn bullish if the yellow metal crosses above the hourly chart inverse head-and-shoulders neckline hurdle of $1,792.
A breakout would create room for a rally to above $1,820 (target as per the measured move method).
Hourly chart
Trend: Bullish above $1,792
Technical levels
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.