Gold buy

FXStreet: Gold prices continue to recover

06 December 2022 223
Load the latest quotes
Full screen

Source: FXStreet

Author: Anil Panchal

Article: Original article

Publication date: Tuesday, December 6, 2022

Gold price is still at the level of $1778 as the dollar tries to keep the upside from the week start on Tuesday. Technical analysis helps to ensure the bullish sentiment of bullion purchasers even during market corrections.

Gold reversed from a horizontal resistance of six months ago, which was at about $1805, to the upward support line from early November at around $1,765 by the press time. A steady RSI and weak MACD signals also give certain hopes to the buyers.

FXStreet: Gold prices continue to recover - Photo 1

Gold daily chart

It’s necessary to note, though, that the 61.8% Fibonacci retracement level of the gold’s decline on June-September, which was at about $1778, and also the 200-DMA hurdle at around the $1,795 level will limit the growth of gold prices.

Meanwhile, downward break of the mentioned support line at about $1765 will straightforwardly lead gold prices to the lows of late November at about $1721.

In general, gold is expected to remain more resilient, but its growth prospects look limited.

Forecast: gold is likely to increase to $1800

This content is for informational purposes only and is not intended to be investing advice.

New Popular
Commenting rules