empty
 
 

12.08.202219:46 Forex Analysis & Reviews: Gold: rising wedge invalidated

The price of Gold edged higher in the last hours and now it was trading at 1,796 at the time of writing. In the short term, it moves sideways, so we'll have to wait for strong confirmation before looking for new setups.

XAU/USD rallied even if the Dollar Index rallied today. Fundamentally, the US Prelim UoM Consumer Sentiment was reported at 55.1 points above the 52.5 points expected. Also today, the UK GDP and the Prelim GDP came in better than expected but worse compared to the previous reporting period. Gold is bullish also because the UK is expected to enter a recession in the last quarter.

XAU/USD Upside Pressure!

Exchange Rates 12.08.2022 analysis

Technically, the price action developed a Rising Wedge pattern. It has dropped below the uptrend line after failing to stabilize above 1,794. Still, its failure to stabilize below the uptrend line or to make a new lower low invalidated a potential deeper drop.

It has found support on the pivot point of 1,784 and now is traded back above the uptrend line. It challenges the 1,794 again.

XAU/USD Outlook!

Stabilizing above 1,794 and making a new higher high, a bullish closure above 1,792 could activate further growth at least towards the 1,805 key resistance.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Ralph Shedler,
Analytical expert of InstaForex
© 2007-2022
Benefit from analysts’ recommendations right now
Top up trading account
Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.




  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • Ferrari from InstaForex
    Top up your account with at least $1,000
    join the contest and win Ferrari
    F8 Tributo
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and win $1,000
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS
Can't speak right now?
Ask your question in the chat.