XAU/USD (a 4-hour chart)
The gold quotes decreased after a strong Labour market report in the USA. However, the decrease was short-lived and the gold grew back due to uncertainty about the Brexit results.
The gold futures remained near the 31 year highs. There were volatile trades on Friday after the fundamental news from the USA. The USA published a strong Non-Farm report. However, the report did not weaken the metal. The XAUUSD renewed local lows at 1335 and returned to its highs in the 1370 region. The resistance is at 1360, the support comes in at 1330.
MACD is in the positive area; its histogram growth will indicate the buyers’ positions strength. RSI is close to the overbought area. If the oscillator enters the overbought area, it will be a buy signal.
The moving averages (50, 100 and 200) are moving upwards in the 4 hours chart. The XAUUSD tested and bounced upwards from the 50-EMA in the 4 hours chart. The 50-EMA acts as a support for the price.
The trend is objectively bearish, however, the price is overvalued and the XAUUSD may start a correction soon. If the pair grows its next stop could be at 1390. If the yellow metal falls the level 1330 will become the sellers’ target.