Today's Saxo Market Call
Today's Market Quick Take
from the Saxo Strategy Team
Gold XAUUSD. Correction in Gold down to the 0.382 Fibo Retracement seems to be over. Gold is now back on the rise and is likely to have another go at the 2K level. If Gold takes out last week’s peak at around 2,010 all-time high levels around 2,075 could be reached in a couple of weeks. Previous all-time high around 2,075 is within few dollars of the 1.764 Fibonacci projection at 2,078 of the Q1 correction.
RSI on daily time period is positive with no divergence supporting the bullish outlook.
For Gold to reverse the uptrend short-term a close below 1,934 would be needed. However, that would likely just cause a correction down to around 1,900-1,882 i.e., the 0618 correction and the 55 daily Moving Average.
There is divergence on weekly RSI indicating the past couple of weeks uptrend is weakening but if Gold closes above 2,010 that divergence is likely to be traded.
For Gold to reverse the medium-term uptrend a close below 1,800 is needed.
Medium-to longer-term. If Gold closes above 2,075 there is upside potential to 2,245-2,352 which are the 1,382 and the 1,618 projections of the 2022 correction. Monthly RSI is positive with no divergence supporting the longer-term bullish outlook.
Read our Commodities analysis expert Ole Hansen for a more Macro/Fundamental view on Gold "Thoughts on Gold ahead of FOMC"