16, September 2016

XAU/USD (a 4-hour chart)

General overview 

Gold prices are under pressure, near the 2 week lows as investors will be focused on the upcoming U.S statistics to evaluate the possibilities of an eventual Fed rate-hike.

Current situation

The pair remained under pressure. Bears kept control over the market. Sellers were able to push the price lower the mark 1316 dollar per ounce. Gold futures remained below the 50, 100 and 200 EMAs which act as a resistance for the price. The 4 hours chart shows that the 50-EMA crossed the 100 and 200 EMAs downwards. The moving averages keep heading lower. The resistance is at 1316, the support comes in at 1300 dollar per ounce.

MACD remained at the same level which confirms the strength of sellers. RSI is approaching the oversold territory.

Trading recommendations

The XAU/USD pair will mostly depend on the US data. The break below 1316 suggests the further weakness of the metal. All eyes are right now at the level 1310. If the level holds the price may recover above 1316. Should the price overcome the mark and the downward trajectory will persist.