#GoldTechnical analysis.#24K99 News On Tuesday (December 24), in the early European market, spot Gold maintained an intraday rebound trend, with the current gold price around $2,621 per ounce. FXStreet senior Analyst Dhwani Mehta wrote on Tuesday to analyze the technical trends of gold prices.
Spot Gold closed down $10.70 on Monday, at $2612.33/ounce. During the New York session on Monday, the Gold price touched a low of $2608.10/ounce.
Mehta wrote that gold prices reversed previous declines, but remained in a familiar Range on Tuesday morning. In a light trading environment, the dollar and US Treasury yields continue their recent upward momentum.
Mehta stated that due to the daily chartRelative Strength Index(RSI) Bearish, and Gold is positioned between two key moving averages, with the price still in a Trade of 'Sell on rallies'.
It is important to note that due to this week coinciding with the Christmas holiday, light trading may amplify volatility across the entire financial market.
The Latest Technical Analysis of Gold
Mehta points out that from a technical perspective, as long as the 14-day Relative Strength Index (RSI) remains below 50, the short-term outlook for Gold prices generally remains unchanged.
Currently, Gold prices are holding above the 100-day Simple Moving Average (SMA) at $2611/ounce and continue to face sellers at the 21-day moving average of $2642/ounce.
Mehta states that Gold prices need to break above the 21-day moving average to counteract bearish momentum, in which case, Gold will test the 50-day moving average at $2668/ounce.
If Gold continues to rise further, the resistance level of $2700/ounce will come into play.
(Spot gold daily chart source: FXStreet)
On the other hand, Mehta added that if Gold buyers give up, the price of Gold will continue to fall below the 100-day moving average Resistance.ResistanceAt 2611 USD/ounce, the monthly low of 2583 USD/ounce will be tested.
After that, the next important Resistance levels are the lows of November 15 and 14 at 2555 USD/ounce and 2537 USD/ounce, which may act as support.
At 15:28 Peking time, spot Gold quoted at 2621.02 USD/ounce.
