RLinda ! GOLD-> Weekly candles in the bullish zone

22 Nov 2022

Gold is trading in a range between support 1727 and resistance 1765. A little short of the key support, the price pulls back to the base line of the H&S pattern. So, what is it and what to expect next?


(Chart 1. Weekly timeframe. Bullish strength manifestation and price moves into the long zone )

The pattern base line is about to be tested and after the retest, the price might go back to the support at 1727.85. By opening the weekly chart of the gold, we can see that the strong trendline, which was confirmed 7 times before (on the weekly chart), has been broken up! Now the price is in the long zone and there is a huge upside potential.
The new week is forming a bar with a long tail from the bottom after touching the line, which might indicate a bullish sentiment.
Weekly RSI reverses and trades above the neutral line
Weekly MACD is forming a sliding line crossover, while the chart has moved into the green zone



(Chart 2. Daily timeframe. Technical analysis)

Daily timeframe. Price is testing the underlying support zone, while the macd and rsi are in bullish zones. The price can go up to 1800, but it is important for the price to break through the level of 1765 on the local timeframe and to take the upper ground, if that is the case, our target will be the resistance of 1807.

Regards R.Linda!