Investing.com investing.com 04 Jan, 2021 17:15 am

Chart Of The Day: Gold Breaks Its Bearish Selling Line; Trend Now Brighter

Chart Of The Day: Gold Breaks Its Bearish Selling Line; Trend Now Brighter
Commodities Analysis by Investing.com (Pinchas Cohen/Investing.com) covering: XAU/USD, US Dollar Index Futures, Gold Futures, SPDR® Gold Shares. Read Investing.com (Pinchas Cohen/Investing.com)'s latest article on Investing.com

The precious metal broke free of its stifling falling channel, as the dollar drop extended.Note that the H&S synchronized precisely with the falling channel.Additional technical signals point to the 100 DMA as the center of technical pressure, where the H&S neckline meets with the channel top and the April-June resistance support the falling channel.Trade Sample 1 – Contrarian Short Position Trade Sample 2 – Long Position

9 high, to be followed by a return move to confirm the support of the H&S, channel top and 100 DMA.Conservative traders should wait on a long position for a new high in the medium term, which would overtake the Nov.

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