The FX Market 6th May 2021

This page will give followers daily access to free daily analysis for Forex pairs, with a focus on the gold market cap.

XAUUSD 1HR TF:

Gold is currently ranging on the daily time frame (ten days of Range). Price close for 5th May 2021 is above the pivot point (pivot point is 1781.97, price close is at 1787.59).

Resistance 3

1811

Resistance 2

1799.45

Resistance 1

1793.52

Pivot Point

1781.97

Support 1

1776.04

Support 2

1764.49 Support 3 1758.56  

1 hr Time Frame:

Price is currently ranging on the one hour time frame for ten days, with price recently testing the range top at 1797 area. Buying pressure is gradually building up to break the 1797 ceiling. At the same time, Sellers were unable to close price below the 1774 area. As you can see on the chart, the defense by the Buyers (at 1774 zone) is holding firmly. Sellers are all lined up at the 1797 zone. A break of the current high 1797 will take price to 1811 area (Resistance 3). Sellers may continue to mount pressure on 1774 zone, and below is 1764 zone where we have Support 2. Technically, the Range Low area (1756) is the likely last defense point of call, for the Bulls. However, Sellers will need to break the immediate Support zone first (1776 area). It will be a source of concern to the Bulls if the Sellers push price below the Range Low area 1756. That said, Bulls have already doubled the reinforcement below the 1774 zone, ready to defend that zone. We believe that this zone will serve as a minor support near term. Moreover, the Buyers are currently lining a strong Support at the closest Low (1770 zone) on the 1 hour time frame. Buyers will now try, by all means to push price above the nearest Resistance level (1795 zone). The 200 Simple Moving Average SMA is currently slightly below price at the 1778 area.  

4 hr Time Frame:

Here, we will be taking a look at the Golden Cross on the four hour time frame 75. Currently on the 4 hour time frame, the Golden Cross is still in place as the 50 SMA crossed above the 200 SMA at 1729 area. Bulls took total advantage of the opportunity back then (15th April), and it is currently a leverage for the Buyers. Price is currently above the 50 SMA. The effect of the current Bullish Golden Cross is still strong. Price may see more upside movement as a result of this.

Daily Time Frame:

Market opened at 1786.74 above previous day pivot (previous day pivot is 1781.97). Bears may want to take advantage of this to push price downwards by the end of the day. Technically, we currently have a Ranging market structure which is visible on the Daily chart.

Fundamentals:

High Impact news for today is BoE Interest Rate Decision data coming up in the London session at 12:00 GMT. Another High Impact news for today is ECB’s President Lagarde speech  coming up in the Newyork session at 12:00 GMT.  

Check Out XAUUSD Previous Forecast:

The FX Market 5th May 2021 The FX Market 4th May 2021  

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