The short-term technical outlook for Gold price remains in favour of buyers after the bright metal closed Friday above the 21-day Simple Moving Average (SMA) at $2,046, breaking the weekly range trade to the upside.
The 14-day Relative Strength Index (RSI) indicator is looking firmer above the midline, suggesting that there is more scope to the upside for Gold price. Additionally, the 100- and 200-day SMA Bull Cross remains in play, supporting Gold price.
The immediate resistance is seen at the January 5 high of $2,06, above which the static resistance at $2,080 will be tested. If the upbeat momentum sustains, a retest of the $2,100 barrier cannot be ruled out.
However, if Gold sellers lurk at higher levels and trigger a pullback, the 21-day SMA resistance-turned-support at $2,046 will be the initial contention point. A daily closing below the latter is critical to negating the renewed uptrend.
The next downside target is seen at the 50-day SMA at $2,019. Ahead of that, Friday’s low of $2,027 could offer some temporary respite to Gold buyers.
The 14-day Relative Strength Index (RSI) indicator is looking firmer above the midline, suggesting that there is more scope to the upside for Gold price. Additionally, the 100- and 200-day SMA Bull Cross remains in play, supporting Gold price.
The immediate resistance is seen at the January 5 high of $2,06, above which the static resistance at $2,080 will be tested. If the upbeat momentum sustains, a retest of the $2,100 barrier cannot be ruled out.
However, if Gold sellers lurk at higher levels and trigger a pullback, the 21-day SMA resistance-turned-support at $2,046 will be the initial contention point. A daily closing below the latter is critical to negating the renewed uptrend.
The next downside target is seen at the 50-day SMA at $2,019. Ahead of that, Friday’s low of $2,027 could offer some temporary respite to Gold buyers.