Gold outperforms Dollar 11/11/2022

Gold prices achieved noticeable gains during the previous trading session, taking advantage of the weakness of the US currency, which fell strongly after the US inflation data, as gold recorded its highest level at $ 1757 per ounce.

Technically, we tend in our trading to the positive, relying on the price’s confirmation that it has breached the pivotal resistance level at the price of 1732 represented by the 61.80% Fibonacci correction as shown on the 4-hour chart, which turned into a support level, and this comes as gold continues to obtain Positive motive from the 50-day simple moving average.

Therefore, the possibility of a rise may be the most likely, knowing that the consolidation above 1770 increases and accelerates the strength of the daily bullish trend, opening the door to visit 1790 next stations that may extend its targets later towards 1805.

Activating the suggested bullish scenario depends on the stability of daily trading above 1730 and, most notably 1722.

Note: Today is a holiday in the US markets, and we may witness decreased trading volumes and liquidity.

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: 1716.00	R1: 1770.00
S2: 1682.00	R2: 1790.00
S3: 1662.00	R3:  1824.00