Gold attacks the resistance 17/6/2022

We adhered to intraday neutrality during the previous analysis due to the conflict of technical signals, explaining that activating the buying positions requires coherence above 1842, which enhances the possibility of touching 1846 and 1850, respectively, and extends the targets to visit 1860 so that gold reaches its highest level during the previous session 1857.

On the technical side, looking at the 4-hour chart, we find the 50-day SMA trying to push the price higher, accompanied by positive momentum signs on the 60-minute time frame.

With intraday trading remaining above 1831, the bullish scenario might be the most likely. Still, the condition for a breach of 1861 facilitates the task required to visit 1880 and 1890, Fibonacci correction 61.80%, respectively.

From below, the price behavior must be monitored well around 1831, because price stability below it renews the chances of negative pressure on the price. We are witnessing a retest of 1825 and 1819 initial targets—later losses to visit 1780.

Note: The risk level is high.

Note: Federal Reserve’s speech is due later in today’s session, and we may witness high price volatility.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1819.00	R1: 1861.00
S2: 1796.00	R2: 1880.00
S3: 1777.00	R3:  1903.00