XAU/USD: technical analysis 27.12.19
On the 4-hour chart, the instrument keeps a positive dynamic. There is a potential for growth to 1515.63 resistance. This level can prevent the instrument from growing, as the possibility of the reverse of the price is high there. However, the decisive break of 1515.63 is needed to indicate the upward trend resumption. In this case, the next targets of buyers will be the level of 1517.60-1518.00.
Failure to conquer the 1515.63 mark seems fetching the XAU/USD to 1509.11 support but its further downside might be confined by the 1507.81 support. The downward trend will be restored after the price is set below the level of 1506.53. In this case, the sellers will aim for the 1503.38.
Technical indicators maintain a buy signal.
Bollinger Bands are pointed upwards.
MACD is growing in a positive zone.
Stochastic is pointed upwards, reflecting the high possibility of the upward movement.
Support and resistance
Support levels: 1509.11, 1507.81, 1506.53, 1503.38.
Resistance levels: 1513.88, 1515.63, 1517.60, 1518.00.
Short positions can be opened below the level of 1509.11 with the target at around 1507.81-1506.53 and stop-loss at 1510.11.
Long positions can be opened above the level of 1513.88 with the target at around 1515.63 and stop-loss at 1513.00.