• Home
  • Analytics
  • Market News
  • Gold Price Forecast: $1,800 likely to cap XAU/USD’s road to recovery – Confluence Detector

Market news

25 November 2021

Gold Price Forecast: $1,800 likely to cap XAU/USD’s road to recovery – Confluence Detector

  • Gold price rebounds but not out of the woods yet while below $1,800.
  • Range play is likely to continue in gold amid Thanksgiving Holiday.  
  • Gold could stage a deep correction if $1,850 becomes resistance. 

Gold is in the green zone for the first time this week, attempting to recover a part of Wednesday’s sell-off to three-week lows of $1,779. Thanksgiving Holiday in the US offers little motivation to the dollar bulls, as they consolidate the hawkish Fedspeak and minutes-led upside. The sluggish price action in the yields and the greenback is aiding the rebound in gold price. Although the further upside appears elusive, as the $1,800 mark is likely to be a tough nut to crack for gold bulls.

Read: Gold Price Forecast: Thanksgiving Day unlikely to offer respite to XAU/USD bulls amid a bear flag

Gold Price: Key levels to watch

The Technical Confluences Detector shows that the gold price is defending critical support around $1,790, which is the intersection of the SMA50 one-day, Fibonacci 38.2% one-month and Fibonacci 61.8% one-day.

If the sellers find a strong foothold below the latter, then the recent downtrend could resume towards the Fibonacci 38.2% one-day at $1,785.

Further south, the confluence of the Fibonacci 23.6% one-day and Bollinger Band one-hour Lower at $1,782 will guard the downside.

The next stop for gold sellers is envisioned at $1,779, the meeting point of the previous day’s low and the pivot point one-day S1.

On the flip side, gold bulls need acceptance above the powerful $1,797 hurdle, which is the convergence of the Fibonacci 23.6% one-month, pivot point one-day R1 and the previous day’s high.  

The next relevant upside target is seen at $1,800, the pivot point one-week S3.

The additional advances will then challenge the bearish commitments near $1,807, where the SMA200 four-hour, Fibonacci 161.8% one-day and pivot point one-day R2 merge.

Here is how it looks on the tool

fxsoriginal

About Technical Confluences Detector

The TCD (Technical Confluences Detector) is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc.  If you are a short-term trader, you will find entry points for counter-trend strategies and hunt a few points at a time. If you are a medium-to-long-term trader, this tool will allow you to know in advance the price levels where a medium-to-long-term trend may stop and rest, where to unwind positions, or where to increase your position size.

Market Focus

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

Open Demo Account
I understand and accept the Privacy Policy and agree that my name and contact details can be used by TeleTrade to contact me about the information I have selected.
23 International Awards
Have a question?

We are ready to assist you in every step of your trading experience
by providing 24/5 multilingual customer support.

Follow us

Risk Warning: Trading Forex and CFDs on margin carries a high level of risk and may not be suitable for all investors. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Prior to trading, you should take into consideration your level of experience and financial situation. TeleTrade strives to provide you with all the necessary information and protective measures, but, if the risks seem still unclear to you, please seek independent advice.

© 2011-2021 Teletrade-DJ International Consulting Ltd

Teletrade-DJ International Consulting Ltd is registered as a Cyprus Investment Firm (CIF) under registration number HE272810 and is licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 158/11.

The company operates in accordance with the Markets in Financial Instruments Directive (MiFID).

The content on this website is for information purposes only. All the services and information provided have been obtained from sources deemed to be reliable. Teletrade-DJ International Consulting Ltd ("TeleTrade") and/or any third-party information providers provide the services and information without warranty of any kind. By using this information and services you agree that under no circumstances shall TeleTrade have any liability to any person or entity for any loss or damage in whole or part caused by reliance on such information and services.

TeleTrade cooperates exclusively with regulated financial institutions for the safekeeping of clients' funds. Please see the entire list of banks and payment service providers entrusted with the handling of clients' funds.

Please read our full Terms of Use.

To maximise our visitors' browsing experience, TeleTrade uses cookies in our web services. By continuing to browse this site you agree to our use of cookies.

Teletrade-DJ International Consulting Ltd currently provides its services on a cross-border basis, within EEA states (except Belgium) under the MiFID passporting regime, and in selected 3rd countries. TeleTrade does not provide its services to residents or nationals of the USA.

Material posted here is solely for information purposes and reliance on this may lead to losses. Past performances are not a reliable indicator of future results. Please read our full disclaimer.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.72% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Choose your language/location