Type:
Bullish Bounce
Key Levels:
Resistance: 25.590
Pivot: 25.125
Support: 24.965
Preferred Case:
Prices are on bullish momentum. We see the potential for a bounce from our Pivot at 25.125 which is a graphical overlap and 38.2% Fibonacci retracement towards our 1st resistance at 25.590 and graphical swing high. Prices are trading above our Ichimoku clouds , further supporting our bullish bias.
Alternative Scenario:
If prices were to continue their dip, they can potentially reach our 1st support at 24.965 which is in line with 50% Fibonacci Retracement.
Fundamentals:
With inflation and war tensions might result in a fundamentally upwards bias on the pair. As FA and TA are in conflict, we would advise investors to be prudent in trading the precious metal.
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Desmond Leong runs an award-winning research firm (The Technical Analyst finalists 2018/19/20 for Best FX and Equity Research) advising banks, brokers and hedge funds. Backed by a team of CFA, CMT, CFTe accredited traders, he takes on the market daily using a combination of technical and fundamental analysis.