Analysis Of The XAU/USD Pair: Bears Enter The Scene

By RoboForex Analytical Department

The yield on US government bonds has risen again amid expectations of another Federal Reserve interest rate hike. This has bolstered demand for the US dollar and driven down the prices of assets denominated in it, including precious metals. As a result, a decline in the value of gold is likely, although the trend is expected to be relatively short-lived.

Technical Analysis Of The XAU/USD Pair

On the D1 timeframe for the XAU/USD pair, the resistance level has shifted to 1929.14, while the support at 1903.96 was breached yesterday. The next likely target for a decrease in prices is the 1886.20 mark.

On the H1 timeframe, a stable descending trend has formed. It is advisable to consider selling from the 1899.29 level with a target at 1887. Conversely, if buyers become more active and breach the 1903.96 level, long positions may become relevant, with a potential 1923 target.

Disclaimer

Any forecasts contained herein are based on the author's particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.