19, July 2016

XAU/USD (a 4-hour chart)

XAU/USD (a 4-hour chart)

General overview

The gold quotes remained under pressure close to the 2-week lows when the markets recovered after the failure of the military coup in Turkey.

Current situation

The current decrease is looking corrective with the more positive sentiment for the market. The instrument found a very solid support around 1330. The resistance is seen at 1330, the support stands at 1316.

MACD is in the negative area. The histogram decreased which indicates the sellers’ strength. Indicator RSI is close to the oversold area.

The price is locked in-between the 50-EMA and the 100-EMA. The 50, 100 and 200 EMAs are turning downwards.

Trading recommendations

We suppose the pair will go to 1316 first. Having overcome the first target the price might go downwards to 1300.