(function() { var didInit = false; function initMunchkin() { if(didInit === false) { didInit = true; Munchkin.init('105-GAR-921'); } } var s = document.createElement('script'); s.type = 'text/javascript'; s.defer = true; s.src = '//munchkin.marketo.net/munchkin.js'; s.onreadystatechange = function() { if (this.readyState == 'complete' || this.readyState == 'loaded') { initMunchkin(); } }; s.onload = initMunchkin; document.getElementsByTagName('head')[0].appendChild(s); })();(function(h,o,t,j,a,r){ h.hj=h.hj||function(){(h.hj.q=h.hj.q||[]).push(arguments)}; h._hjSettings={hjid:1422437,hjsv:6}; a=o.getElementsByTagName('head')[0]; r=o.createElement('script');r.defer=1; r.src=t+h._hjSettings.hjid+j+h._hjSettings.hjsv; a.appendChild(r); })(window,document,'https://static.hotjar.com/c/hotjar-','.js?sv=');

Aayush Jindal

Key Highlights

  • Gold prices started a fresh decline from the $2,088 resistance.
  • A key bearish trend line is forming with resistance near $2,050 on the 4-hour chart.
  • Crude oil prices are also struggling to rise above the $74.00 resistance.
  • EUR/USD managed to stay above the 1.0880 support zone.

Gold Price Technical Analysis

Gold gained pace above the $2,050 resistance against the US Dollar. It even broke $2,065 before the bears appeared near the $2,088 zone.

The 4-hour chart of XAU/USD indicates that the price formed a short-term top and started a fresh decline from $2,088. There was a move below the $2,065 support zone, the 100 Simple Moving Average (red, 4 hours), and the 200 Simple Moving Average (green, 4 hours).

There was a clear move below the 50% Fib retracement level of the upward move from the $1,972 swing low to the $2,088 high. Initial support is near the $2,010 level.

The first major support sits near the 76.4% Fib retracement level of the upward move from the $1,972 swing low to the $2,088 high at $2,000. Any more losses might call for a move toward the $1,975 level in the coming days.

On the upside, the price might face resistance near $2,050. There is also a key bearish trend line forming with resistance near $2,050 on the same chart.

An upside break above the $2,050 level could send the price soaring toward the $2,065 resistance. The next major resistance is near the $2,088 level, above which Gold could test $2,120.

Looking at crude oil, the bears seem to be active near the $74.00 zone and there could be a fresh bearish reaction to $68.00.

Economic Releases to Watch Today

  • US Goods and Services Trade Balance for Nov 2023 - Forecast $-65.0B, versus $-64.3B previous.