Gold prices are hovering around $1,820 about to end 2022 practically flat for a wild year. On Friday, XAU/USD rose to as high as $1,825 and then pulled back. The bias point to the upside, but the yellow metal continues to show difficulties in holding above the $1,820 zone.

Silver and gold prices showed an unusual divergence. Silver tumbled from fresh highs at $24.15 to 23.66$ while gold remained near the top. XAU/USD is up 0.21% and XAG/USD falls by 0.95%.

Volatility is on the rise during the last hour of trading of the year across financial markets. The Dow Jones is falling by 0.76% and the Nasdaq by 1.25%. US stocks are about to have the worst year in more than a decade.

Gold is testing the resistance level. The instrument is going above the Ichimoku Cloud, which indicates an uptrend. A test of the lower border of the Cloud is expected at 1805, followed by growth to 1860. An additional signal confirming the growth will be a bounce off the lower border of the bullish channel. The scenario can be cancelled by a breakaway of the lower border of the Cloud and securing under 1790, which will mean further falling to 1755.

It has been a wild year for gold. It reached levels above $2,000 during the first half of the year and then tumbled until it built a base around $1,615 from where it started a recovery that is still going on.

Wait for a rebound towards $1805 before placing your hawkish positions on the golden metal. 

Placing Bullish Positions at $1805

farhan fazal

Dec 31 2022

Pending

Published 39d ago

1874.85

Current price

1805.49

Entry price