2016-08-02 13:52:16

Review and dynamics
Fundamental factors put pressure on the USD and trigger the rise in gold price. At the end of July, the pair XAU/USD has bounced from the support levels 1315.00 (the lower limit of the ascending channel on the daily chart), 1324.00 (Fibonacci 38.2% to the wave of decline since October 2012) and continues to grow in the ascending channel on the weekly chart with the upper limit near the levels 1410.00 (Fibonacci 50%) and 1385.00 (highs of 2014).

Our opinion
On the monthly, weekly, daily and 4-hour charts the indicators OsMA and Stochastic give buy signals. Fundamental factors are in favor of the rise in gold price.

Until the release of the US labor market data for July this, Friday at 14:30 (GMT+2), the rise in the pair XAU/USD is likely to continue.

In the case of the weak data, probability of the interest rate increase in the USA in the near future will significantly decrease. In this case, the USD will decline in the market, and the price of gold will continue to rise. The nearest targets will be at the levels of 1385.00 (upper line of the ascending channel on the weekly chart), 1410.00 (Fibonacci 50.0%), 1435.00 (highs of 2013) and 1500.00.

Support levels: 1340.00, 1324.00, 1315.00, 1300.00, 1264.00, 1240.00 and 1218.00.
Resistance levels: 1370.00, 1385.00, 1400.00, 1410.00, 1435.00 and 1500.00.


Trading tips
Buy on the market. Stop-Loss: 1340.00. Targets: 1365.00, 1385.00, 1400.00, 1410.00, 1435.00 and 1500.00.
Sell Stop: 1340.00. Stop-Loss: 1360.00. Targets: 1315.00, 1300.00, 1264.00, 1240.00 and 1218.00.

In the ascending channel
In the ascending channel

Rebound from the levels of 1315.00 and 1324.00
Rebound from the levels of 1315.00 and 1324.00