13, July 2016

XAU/USD (a 4-hour chart)

XAU/USD (a 4-hour chart)

General overview

The gold futures showed negative dynamics due to the possible stimulus measures in Japan and due to the decreased demand for the safe assets.

Current situation

The gold quotations decreased after the consolidation below the level of 1360. The price dropped by 1,50% and tested the support level 1330. The resistance is at 1360, the support comes in at 1330.

MACD is in the negative territory which indicates the sellers’ strength. RSI is in the oversold zone which is also a sell signal.

The price broke the 50, 100 and 200 EMAs in the 1 hours chart. The moving averages are turning downwards.

Trading recommendations

If the pair manages to make a breakout of the mark 1330 the gold may fall to 1316. Alternatively, the pair will grow to 1360.