GOLD continue to move within the correction and were able to cancel the formation of the “Head and Shoulders” pattern. At the time of the publication of the forecast, the price of GOLD is 1845 Dollars per Troy Oz. Moving averages indicate a short-term sideways trend. Prices are again testing the area between the signal lines, which indicates pressure from the sellers of the asset and a potential continuation of the fall from the current levels. At the moment, we should expect an attempt to develop a decline and test the support level near the 1805 area. Where can we expect a rebound and continued growth in the price of GOLD with a potential target above the level of 1945.
XAU/USD Forecast and GOLD analysis December 16, 2020
An additional signal in favor of raising the XAU/USD quotes will be a test of the support line on the relative strength index (RSI). The second signal will be a rebound from the upper curtain of the descending channel. Cancellation of the growth option for GOLD prices on December 16, 2020 will be a fall and a breakdown of the level of 1775. This will indicate a breakdown of the support area and a continued fall to the area below the level of 1725. Expect to accelerate the growth of XAU/USD quotes with the breakdown of the resistance area and closing the price above the level of 1880.
XAU/USD Forecast and GOLD analysis December 16, 2020 implies an attempt to test the resistance area near the level of 1805. Further, the continuation of the fall in quotations with a target above the level of 1945. Cancellation of the option of falling GOLD prices will be strong growth and a breakdown of the level of 1775. This will indicate on the breakdown of the resistance area. In this case, we should expect the continuation of the rise in GOLD with a potential target above the level of 1725.
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