Tech Beat: Gold’s Swing Failure Pattern?

News Image

By Abdur Rahman | December 05, 2023 at 10:32 PM GMT+05:00

0:00

December 05, 2023 (MLN): International spot gold soared to a new record high of $2,135, but encountered strong resistance from sellers who pushed it back within the previous range.

The price movement toward the highs suggested a swing failure pattern (SFP), with yesterday's daily closing also below the prior highs.

This cast doubts on the strength of the breakout, as a breakout of this significance (four attempts spanned over a period of ~3.5 years) should normally trigger a substantial rally.

Instead, it faced substantial selling pressure, pushing it down as much as 5% from the highs in yesterday's intraday session.

Support Levels
$2,010 $1,990 $1,974
S1 S2  S3
Resistance Levels
$2,040 $2,060 $2,102
R1 R2 R3

XAU/USD Weekly Time-Frame Chart

XAU/USD Monthly Time-Frame Chart

The level of ~$1,974 is the critical support for the gold bulls, and losing it could trigger more downside pressure. There is not much support between this level and the low $1,800s.

To resume the upward momentum, the price should stay above $1,974, and buyers need to step in quickly.

It is pertinent to note that on higher timeframes, gold remains in an upward trend unless the ~$1,974 levels gives in.


Disclaimer: The views and analysis in this article are the opinions of the author and are for informational purposes only. It is not intended to be financial or investment advice and should not be the basis for making financial decisions.

Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 133,317.54
90.39M
-0.04%
-52.61
ALLSHR 83,087.36
321.11M
0.01%
6.21
KSE30 40,626.93
29.50M
-0.19%
-78.38
KMI30 192,208.39
38.32M
-0.19%
-372.29
KMIALLSHR 55,829.79
185.78M
-0.01%
-5.93
BKTi 36,229.61
5.04M
-0.24%
-87.56
OGTi 28,487.86
2.76M
-0.19%
-55.09
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 108,425.00 108,880.00
107,680.00
-30.00
-0.03%
BRENT CRUDE 69.34 69.50
69.03
-0.24
-0.34%
RICHARDS BAY COAL MONTHLY 97.50 0.00
0.00
2.90
3.07%
ROTTERDAM COAL MONTHLY 106.00 106.75
106.00
0.25
0.24%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 67.66 67.97
67.40
-0.27
-0.40%
SUGAR #11 WORLD 16.25 16.46
16.07
-0.13
-0.79%

Chart of the Day


Latest News
July 08, 2025 at 10:42 AM GMT+05:00

Pakistan moves to regulate crypto with PVARA approval


July 08, 2025 at 09:41 AM GMT+05:00

DFML assembles over 300 EVs for delivery


July 08, 2025 at 09:31 AM GMT+05:00

NBP issues foreign exchange rates



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg