Gold has been on a range play ever since seeing a new historic high at April 12. Global tensions have not quite lead to a big flare up though the potential remains keeping prices elevated. Demand from central banks diversifying off fiat currency has also been a reason for this years rally but if everyone is already in on the game who is there to push things further? Though we are not inclined to look for a substantial pull-back just yet.
Resistance
- 2352.58 – Prior Daily Low – Range Play High
- 2332.03/37.33 – Monday High / 20D Moving Average
- 2322.26 – Previous Intraday Consolidation Floor / Intraday High
Support
- 2310.04 – Intraday Consolidation Floor
- 2303.34 – Previous Intraday Consolidation Resistance
- 2297.33 – Monday’s Low
Given yesterday’s candle and the lower highs in the daily chart we favor looking to short XAUUSD on an intraday close below 2310.04 the immediate scenario being a continuation of the daily consolidation. Thus far the drama over Hamas acceptance of a truce offer and Israel’s rejection have been localized seeing little impact in financial markets. We will consider buys from 2281.70 with stops under 2277.22, Friday’s High Wave Doji Low.
