XAU/USD Bull Flag Aims at $1800 after Breakout

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Updated: Jun 10, 2020, 07:27 GMT+00:00

Gold is building a bull flag chart pattern. Price has recently bounced at the support zone (green lines) and Wizz 6 level. Will price be able to make a bullish breakout?

Gold (XAU/USD) is building a bull flag chart pattern. Price has recently bounced at the support zone (green lines) and Wizz 6 level. Will price be able to make a bullish breakout?

Daily chart

The XAU/USD needs to break that resistance trend line (orange) before an uptrend confirmation is possible (green check). A breakout, pullback, and continuation pattern (green arrows) would help confirm the break. The target is aiming at the $1800-1820 zone. A failure to break could indicate a retest of the support zone first. A break below the support zone (orange dotted arrow) most likely invalidates (red x) the bullish outlook.

Good trading,

Chris Svorcik

The analysis has been done with the indicators and template from the SWAT method (simple wave analysis and trading). For more daily technical and wave analysis and updates, sign-up to our newsletter

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