Gold Fundamental and Technical Analysis

 By Deya Hroob

Summary :

Weekly Chart : Gold trading in a Falling Channel.

Daily Chart : Price broke down the Descending Triangle

Gold prices fell on Friday to their lowest level in a week, and are heading for the second consecutive weekly and monthly decline as brighter economic prospects and concerns about inflation support the US Treasury yields.

Gold fell to $ 1717, and also price fell 1.9% on Thursday as record US Treasury yields reached their highest level since the start of the pandemic, boosting the dollar.

Higher inflation boosts gold, but it also raises treasury yields, which in turn increase the cost of owning the yellow metal.

If we look at the weekly chart, we can clearly see that Gold has been trading in a falling channel. To trade this pattern, we have to wait for the price to break through either trendline.

On the daily chart, The precious metal declined sharply and broke down the support structure. Now further losses is expected, the area between 1,700 and 1,680 is the next support to look at.

On the flip side, any recovery will find resistance from the broken structure.

Trade Wise and Good Luck,

How to Trade Flag Pattern. Stop Loss & Entry Rules

 By VasilyTrader

Great buying opportunity for next week explained.

Entry/stop/target included.

Trade Wise and Good Luck,

A New Record Level for BTC : Technical Analysis ( Daily Chart )

  By Deya Hroob

The price of Bitcoin  rose to a new record on Thursday, and reached 48,481 .

MasterCard, said the company would allow transactions using specific digital currencies and communicate with central banks that are working to develop their own digital currencies.

 

Bitcoin, the world's oldest and most popular digital currency, benefited from the MasterCard announcement, in addition to the electric car maker Tesla's announcement earlier this week to purchase Bitcoin worth $ 1.5 billion and its intention to allow its customers to use this currency to buy Its future cars.

 

And the value of the cryptocurrency rose after the US electronic payment card issuer, MasterCard, pledged to accept cryptocurrencies on its electronic payment network.

BTC Technical Analysis ( Daily Chart )

 

Bitcoin is trading on a resistance line. If the bulls can push the price above this line the uptrend may resume, with the next target at $50,000.

However, what is the most concerning issue is that the bearish divergence on RSI chart. It occurs when price forms higher highs  while the RSI forms lower highs. This indicates a correction is close to happen.

If the price turns down from this resistance , BTC may drop to support level at $41,500

 

Trade Wise and Good Luck

Learn How to Identify Supply and Demand Areas

 By VasilyTrader

Supply & Demand Zones. Everything You Need to Know

Learn to identify supply and demand areas.

Theoretical lesson + real examples.

 

GOLD Recovering From the Lows: Eyes $1865 Level

 By Deya Hroob

Gold prices rose today, Monday, after hitting the lowest level in a month and a half earlier in the session, supported by the chances of approving a huge American package for relief from the repercussions of the Corona virus.

The spot price of gold rose 0.5 percent to $ 1837.78, after falling earlier to $ 1803, its lowest level since the second of December.

GOLD Technical Analysis

Gold has recovered from the low $1803 earlier today and closed at $1837.78  . The weekly chart shows that the 50-weekly EMA offers great support for each dip. ( now at $1791).

 

On the daily chart, the precious metal respected both the uptrend line and the 200-day EMA which is quite positive. $1865 will be the first hurdle for GOLD, then the psychological level at $1900.

On the flip side, if we lose the trend line, a fall to the strong support structure is possible.

 

Trade Wise and Good Luck,

Xiaomi Denies its Association With the Chinese Military Sector

 By Deya Hroob

Xiaomi, one of the largest smartphone manufacturers in China, responded to the Pentagon adding it to its list of companies linked to the military sector in China. In a statement today, Friday, the Chinese company Xiaomi denied its association with the military industry in China, and said that it would take steps to protect its interests and the interests of its shareholders, in response to the US sanctions.

The company confirmed that it carries out activities in accordance with the law and rules in force, and that it respects the laws in places where its activities are carried out, stressing that its services and products are used in the civil and commercial fields.

 Xiaomi indicated that it is not owned, controlled or affiliated with the Chinese military industry, nor is it a Chinese military company that is subject to the US National Security Act.

The Pentagon press service reported yesterday that the US Department of Defense has expanded the list of Chinese companies operating in the United States and associated, in Washington’s terms, with the Chinese military industry, as nine other entities have been added to the list, including Xiaomi.

Xiaomi was founded in April 2010, and is currently one of the four largest smartphone manufacturers in the world, and in 2018 the company implemented an initial public offering of its shares on the Hong Kong Stock Exchange.

During the past year, the company's share rose by 180%, and at the end of December of last year, the company's market value exceeded the level of $ 100 billion, for the first time.

Gold Closed a Choppy Year with Strong Gains

 By Deya Hroob

Gold stabilized with the continued losses of the dollar, heading to achieve the best annual performance in a decade, affected by economic uncertainty and the distribution of countries around the world huge incentives to reduce the impact of Corona on their economies.

 

The precious metal has gained 25% since the beginning of 2020, as central banks and governments around the world have adopted economic stimulus measures, paving the way for higher inflation and a decline in the value of currencies

And gold, which is considered a hedge against inflation this year, benefited from unprecedented stimulus measures and lower interest rates to cushion the impact of the blow to economies from the pandemic.

GOLD Technical Analysis

 

Daily Chart :

Gold is trading inside a descending channel. It's now on the resistance line of the channel. A break above the channel and the $1900 resistance could start a new uptrend that could reach $1960 then to the psychological resistance level at $2000

However, if the price turns down from the current levels or the resistance line of the channel the first support will be 50-day EMA,  then the bears will try to drag the precious metal to the 200-day EMA  support ( now at $1812)

4H Chart :

GOLD has been facing resistance near the $1900 level for the past few days. It's also trading in a rising wedge.

 If the bulls can push and sustain the price above the resistance structure, GOLD may go the upper line of the rising wedge. If price breaks up the rising wedge, $1960 will be the next resistance.

On the contrary, if price fails to break this stiff resistance , GOLD may drop to $1870 , then 1812 is expected.