Sasha Singh
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XAUUSD : Still in the Consolidation Range

XAUUSD : Daily Chart

US Dollar is trading higher against its major counterparts after the economy posted strong growth numbers. However the Gold continues to trade within the descending triangle trend. All the currency across the market yesterday extended losses after the upbeat GDP data but gold is steady. Also the moving averages on the 4 daily chart are not signaling any trend as they all are heading in the same sideways direction. As I mentioned in my previous blog yesterday there also seems like Gold is also trading within a falling wedge pattern which gives a bullish signal. So it might also break above the falling resistance trend line of the wedge. Gold might give us some surprise by reversing the current downtrend to uptrend.

XAUUSD : 4 Hour Chart

Now Gold seems bearish on the 4 hour chart as 100 day SMA is just about to cross the 200 day SMA confirming the continuation of downtrend so we might see the Gold to move below the key support at 1291.74. Also the 50 day SMA seems like resisting the pair to move above it.

Department of Labor in US is releasing the Unemployment Claims data today at 8:30 AM EDT. Let's see if it beats the economists expectations or not. If the data doesn't come as per expectations we might see a surge in Gold as Fed stated yesterday that the labor market remain significantly underutilized adding the bearish expectations among the investors.