11:58, 03 February
XAUSD Daily Market Analysis
Gold draws support from the progress on US President Joe Biden’s $1.9 trillion stimulus package, which weighs on the safe-haven US dollar.
Surging demand for bullion coins also underpins the sentiment around the yellow metal.
The raising askew support is drawn from $1,765 followed by $1,802. The level looks fragile when $1,874 holds. Zooming out to the 4H chart, a double top pattern is discovered at both resistances demonstrating the market keen weighs on reversal.
In terms of trading
The precious metal is yet considered bullish as long as the $1,802, and $1,764 resists from breakouts. Therefore, it has the potential to rise and cap the $1,874.
On the other hand, the breach in $1,802 confirms that the January 4th ceiling crash was nothing but a fake-out, and further decline likely to be seen.