Intraday Analysis – XAU Prices Under Pressure – Orbex Forex Trading Blog

XAUUSD struggles to stabilise

XAU prices remain choppy as global tensions continue to reflect on the safe haven asset. On the chart, last December’s sell-off around 2080 has proved to be a tough barrier to push back to. A sharp fall below 2030 at the 20-day SMA forced leveraged positions to liquidate, exacerbating volatility. If the current support at 2020 is not held, the psychological level of 2000 would be next to see if bids start to emerge. On the upside, a bounce to the supply zone around 2050 will likely see if bulls will enter this undecided market.

AUDUSD seeks support

The Australian dollar continued to slide after the RBA warned that further monetary tightening could not be ruled out. A drop below the daily support of 0.6500 has dented optimism in the short-term. A bearish RSI divergence showed further slowdown with the Aussie and the sell-off could continue if the 0.6460 level is breached. If buying interest comes back into play, 0.6540 is the first hurdle, with 0.6580 being the next resistance.

UK 100 bounces off resistance

The FTSE 100 dropped over 100 points as doubts still creep around regarding a soft landing for the economy. A fall below the previous high of 7700 suggests that the directional bias has lowered as price action trades below the 20-day SMA. A bounce off the base of the latest decline at 7630 could see a whipsaw effect to push the index higher. However, a close below 7600 could bring in momentum sellers and send the price back towards 7450.

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