Gold is trading in upward channel on 4 hour time frame. This confirms that the trend is skewed towards the upside and the bias remain towards in the same direction as long as we trading in this channel. We are also trading above the 50 and 100 day moving average and this is a strong signal that the bulls are in control of the price. Moreover, the 50 day moving average is trading above the 100 day moving average and this reflects bull strength.
The RSI however, id showing a clear sing of divergence with respect to the price action and what this mean is that while the price is making the higher high, the RSI is not confirming this move. Therefore, a caution should be taken for any upward trade.
Important Zones
1111-1106 Support
1149-1146 Resistance
Disclosure & Disclaimer: The above is for informational purposes only and NOT to be construed as specific trading advice. responsibility for trade decisions is solely with the reader.
by Naeem Aslam