20, September 2016

XAU/USD (a 4-hour chart)

General overview

Gold prices recovered on Monday after a two-week decrease ahead if the Fed and BoJ’s meetings.

Current situation

Gold prices tried to regain the level 1316, but failed. The price bounced from the level and traded a few pips below it. The moving averages extended their decline. The resistance is at 1316, the support comes in at 1300 dollar per ounce.

MACD grew which indicates the sellers’ positions weakening. RSI bounced from the oversold area.

Trading recommendations

The level 1316 and the 50-EMA limit gold further growth. An uptrend will start as soon, as the pair rises above this region. The 1325 level is the next buyers' target. If the pressure persists the XAU/USD will decline towards 1300.