Spot Gold - strong supports at $1230 /27 are under pressure

Slobodan Drvenica Windsor Brokers

GOLD

Spot Gold is at the back foot in the near-term and pressures strong support at $1230 (daily Ichimoku cloud top).

Yesterday’s upside rejection at $1238 and subsequent weakness, formed asymmetric H&S pattern on hourly chart that signals further easing.

Below $1230, next strong support lies at $1227 (Fibo 61.8% of $1216/$1244 upleg) which is expected to contain two-legged pullback from $1244 and keep alive hopes of renewed attempts at $1244 barriers.

Loss of $1227 support would risk fresh weakness towards $1221 (rising 20SMA) and unmask key near-term support at $1216 (15 Feb correction low).

Break here is needed to confirm double-top pattern for more significant bearish acceleration.

Res: 1238; 1244; 1248; 1255
Sup: 1230; 1227; 1221; 1216

Interested in XAUUSD technicals? Check out the key levels

1. R3 1234.92
2. R2 1234.82
3. R1 1234.60
PP 1234.50
1. S1 1234.28
2. S2 1234.18
3. S3 1233.96

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD treads water above 1.1850 amid thin trading

EUR/USD stays defensive but holds 1.1850 amid quiet markets in the European hours on Monday. The US Dollar is struggling for direction due to thin liquidity conditions as US markets are closed in observance of Presidents' Day.

GBP/USD flat lines as traders await key UK and US macro data

GBP/USD kicks off a new week on a subdued note and oscillates in a narrow range near 1.365 in Monday's European trading. The mixed fundamental backdrop warrants some caution for aggressive traders as the market focus now shifts to this week's important releases from the UK and the US.

Gold sticks to intraday losses; lacks follow-through

Gold remains depressed through the early European session on Monday, though it has managed to rebound from the daily trough and currently trades around the $5,000 psychological mark. Moreover, a combination of supporting factors warrants some caution for aggressive bearish traders, and before positioning for deeper losses.

Bitcoin, Ethereum and Ripple consolidate within key ranges as selling pressure eases

Bitcoin and Ethereum prices have been trading sideways within key ranges following the massive correction. Meanwhile, XRP recovers slightly, breaking above the key resistance zone. The top three cryptocurrencies hint at a potential short-term recovery, with momentum indicators showing fading bearish signs.

Global inflation watch: Signs of cooling services inflation

Realized inflation landed close to expectations in January, as negative base effects weighed on the annual rates. Remaining sticky inflation is largely explained by services, while tariff-driven goods inflation remains limited even in the US.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.