XAU/USD: technical analysis and trading recommendations_03/11/2022
At the time of writing this article, XAU/USD is traded near 1990.00, just above the important near-term support level 1972.00 (EMA200 on the 1-hour chart).
At the same time, XAU/USD remains in the zone of a long-term bull market, above the key support level 1826.00 (EMA200 on the daily chart). In our opinion, entry into long positions from the current levels is possible, as well as in case of a decrease to the support level 1972.00. A confirmation signal will be a breakdown of the local resistance level 2008.00. In this case, XAU/USD will continue to grow within the ascending channel on the daily chart. Its upper limit goes above 2070.00 (the recent local almost 2-year high), which will become the nearest upside target for XAU/USD.
In an alternative scenario that looks like a theoretical one so far, XAU/USD will return to the zone of the key long-term support level 1826.00. The first signal for the implementation of this scenario will be a breakdown of the short-term support level 1972.00. But even a decline to the important support level 1902.00 (EMA200 on the 4-hour chart) will be considered corrective within the bullish trend.
Only a breakdown of the support levels 1713.00 (EMA144 on the weekly chart and local lows), 1648.00 (EMA200 on the weekly chart) will increase the risks of breaking the long-term bullish trend of XAU/USD.
Support levels: 1972.00, 1902.00, 1876.00, 1826.00, 1800.00, 1713.00, 1700.00, 1648.00
Resistance levels: 2000.00, 2008.00, 2070.00
Sell Stop 1967.00. Stop Loss 2011.00. Take-Profit 1902.00, 1876.00, 1826.00, 1800.00, 1713.00, 1700.00, 1648.00
Buy by market, Buy Limit 1973.00, Buy Stop 2011.00. Stop Loss 1967.00. Take Profit 2050.00, 2070.00, 2100.00, 2200.00