SPOT GOLD – break through $1316 or $1322 pivots to generate clearer direction signal
Gold price dipped to $1317 low on Monday, remaining at the back foot following Friday’s strong upside rejection at $1325 and daily close in red.
Dip was so far contained by thick hourly cloud and found temporary footstep just ahead pivotal $1316 support (Fibo 38.2% of $1301/$1325 upleg).
Upside attempts today were capped by falling 20SMA ($1322) which also marks Fibo 38.2% of $1355/$1301 fall, barrier that was repeatedly cracked but bulls failed to close above and generate bullish signal.
mixed signals from daily studies show no clear near-term direction, as 10SMA / slow stochastic turn north, while momentum is losing traction, falling 20SMA caps for now, while converging 30/55/100SMA’s are on track to form multiple bull-cross.
Initial bullish signal could be expected on close above $1322, while confirmation of bullish continuation needs firm break above a cluster of MA’s at $1327 zone.
Conversely, close below $1316 Fibo support would weaken near-term structure and risk extension towards $1313/11 pivots (10SMA / Fibo 61.8% of $1301/$1325 upleg).
Res: 1322; 1325; 1327; 1335
Sup: 1316; 1313; 1311; 1307