After two days of declines, the price of gold is seeking a turnaround. Will the price of gold rise over the 23.6% Fibo level? Dhwani Mehta of FXStreet examines the pair’s technical outlook.
What happens if the 23.6% Fibo support for XAU/USD fails?
“Gold bulls are attempting to break through the important support that has since turned into resistance at $1,963, which is the 23.6% Fibonacci Retracement (Fibo) level of the March gain. Approval above the latter will start a new upsurge towards the $1,981 high from the day before, above which the $2,000 mark will be considered.
“On the downside, the $1,950 barrier and the day’s low of $1,944 offer immediate support. The next cushion is located at $1,934, which is the same ascent’s 38.2% Fibo level.