XAU/USD breaks out of triangle

Note: This section contains information in English only.
Source: Dukascopy Bank SA

Positions Today Yesterday % Change
Longs 50% 50% 0.00%
Shorts 50% 50% 0.00%
Indicator 4H 1D 1W
MACD (12; 26; 9) Sell Sell Buy
RSI (14) Neutral Neutral Neutral
Stochastic (5; 3; 3) Sell Sell Sell
Alligator (13; 8; 5) Sell Sell Buy
SAR (0.02; 0.2) Buy Sell Sell
Aggregate

Although it was possible that the metal's price will break out of the ascending triangle pattern to the upside, as it should have been in accordance with this pattern's theoretical framework that did not occur. Instead the bullion sharply dropped and reached the 1,240 mark, which acted as a support. Most likely the 1,240 level was set as a stop loss by short sellers, as the metal managed to quickly reach above the 1,245 mark in the next few hours. In regards to the future outlook of the commodity price, it has to be noted that the metal faces the resistance of all of the simple moving averages, which are used by Dukascopy, at the 1,249 mark. Most likely the combined resistance will force gold into a retreat.

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