Cabana Capitals Blog Market Insights GOLD:-Bulls are moving up but momentum is too slow

GOLD:-Bulls are moving up but momentum is too slow

GOLD:-Bulls are moving up but momentum is too slow post thumbnail image

Overview:- By analyzing the daily technical chart we can see that  pair is heading north side and marked a high of 1949.90$ which means it is rising up with a full of bullish momentum. Presently pair is doing very well for buyers and it is making successively higher highs and higher lows as it is trading in purely uptrend, which indicates that further rally is still awaited. The 1950$ level is a psychological level so we will get further bullish signal above this level and a daily closing above this level will open the way towards the 1980$ level.

A short term uptrend line is lying which is providing strength on the pair and the way bulls are reacting it seems like they are not ready to stop in the early phase however we need a clean sweep of 1950$  with a daily closing above the mentioned breakout level.

We will keep our view bullish on the pair as long as 1900$ level remains intact. Odds are in favor of bulls and intraday bias remains bullish on pair. Pair is moving above the minor and major EMA lines which is providing us bullish signal.

The bullish crossover on MACD indicator is providing us bullish signal. .RSI has turned up into overbought territory which suggests some corrections but this correction should be taken as buying opportunity for those who have missed earlier.

What next:-  The 1950$ level is immediate resistance level followed by 1980$ whereas 1920$ level is strong key support level followed by 1900$ level.

Trade idea:– Based on chart and studies above we can suggest that buy the pair around current levels 1950$  target is 1970$ and 1980$ sl is 1920$  level.

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