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Gold Price Faces Key Hurdle Near $1,800, Fed Next

Aayush Jindal

Aayush Jindal

Key Highlights

  • Gold price settled nicely above the $1,750 resistance zone.
  • A major resistance seems to be forming near the $1,800 zone on the 4-hours chart.
  • EUR/USD is stable and well above 1.2000, GBP/USD is showing signs of more upsides above 1.3940.
  • Crude oil price is holding gains above $60.00, but it is facing hurdles near $63.50.

 

Gold Price Technical Analysis

After forming a base above $1,700, gold price started a fresh increase against the US Dollar. The price broke the $1,750 resistance zone to move into a positive zone.

The 4-hours chart of XAU/USD indicates that the price gained pace above the $1,750 and $1,760 resistance levels. There was also a close above $1,750, the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours).

On the upside, the bulls seem to be facing a strong resistance near the $1,800 level. A clear upside break above the $1,800 resistance zone could open the doors for a steady increase.

The next major resistance may possibly be near $1,840 and $1,850. Conversely, there might be a downside break below the $1,770 support zone.

The first major support is near the $1,760 level and 100 simple moving average (red, 4-hours). The next major support is near the $1,740 level and the 200 simple moving average (green, 4-hours), below which there is a risk of a drop towards $1,700.

Looking at EUR/USD, the pair is still holding gains above 1.2000. Besides, GBP/USD is likely to gain bullish momentum above the 1.3940 resistance.

Economic Releases to Watch Today

  • ECB’s President Lagarde speech.
  • Fed Interest Rate Decision – Forecast 0.25%, versus 0.25% previous.