- Buyers cautious after the pullback from the all-time high recently
- Gold prices are range-bound in August.
Gold price is now near a critical support area of 1920-1941 dollars; the prices fell immediately after touching a fresh all-time high at the start of August. The prices had formed a bearish engulfing pattern near the all-time high, and sellers have gained control of the price action since then.
The pattern indicated a strong pullback possibility as an overbought trend was in play. Then, the gold prices fell by around ten Percent in a week and looked like a dramatic move. But, the sell-off soon abated, and buyers came in around trendline support.
The price action, as mentioned earlier, is finding support near 1920-1941 dollars, and 1987-2009 dollars are acting as the resistance.
Whether Gold bulls will wait further for a deeper retracement or act now is the moot question as we are probably in an over-bought (or over-sold?) price level.
But, as we were in an aggressively bullish prior trend, whether it would resume or not could be determined by the headlines. This week Jackson Hole Economic Symposium conducted virtually has a good presence of ‘who is who’ in Global Central Banking.
This event will help set the course of gold prices in the days ahead, with a move above 2009 dollars bringing back the bulls in hordes.
Currencylive.com is a news site only and not a currency trading platform. Currencylive.com is a site operated by Wise US Inc ("We", "Us"), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of Wise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on currencylive.com do not represent our views.