{"id":108435,"date":"2017-07-03T06:21:47","date_gmt":"2017-07-03T10:21:47","guid":{"rendered":"http:\/\/countingpips.com\/?p=108435"},"modified":"2017-07-03T06:21:47","modified_gmt":"2017-07-03T10:21:47","slug":"xauusd-gold-technical-analysis-earlier-shift-to-policy-tightening-weighs-on-gold-prices","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/07\/xauusd-gold-technical-analysis-earlier-shift-to-policy-tightening-weighs-on-gold-prices\/","title":{"rendered":"XAUUSD: Gold Technical Analysis &#8211; Earlier shift to policy tightening weighs on gold prices"},"content":{"rendered":"<div id=\"inves-104450766\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">July 3, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p>By <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener\">IFCMarkets<\/a><\/p>\n<p><strong>Earlier shift to policy tightening weighs on gold prices<\/strong><\/p>\n<p>Improved global growth prospects and earlier shift to monetary tightening by central banks is bearish for gold. Will <a href=\"https:\/\/www.ifcmarkets.com\/en\/trading-conditions\/precious-metals\/xau\">gold<\/a> continue falling?<\/p>\n<p>The shift to monetary tightening by central banks earlier than previously believed weighs on gold price. European Central Bank President Mario Draghi said the ECB could adjust its policy tools of sub-zero interest rates and massive bond purchases as economic prospects improve in Europe last Tuesday. In the UK the Bank of England Governor Carney suggested on Wednesday that there\u2019s a limit to the BOE\u2019s tolerance for above-target inflation. Bank of Canada Governor Poloz said the same day that the Canadian economy enjoyed \u201csurprisingly\u201d strong growth in the first three months of 2017 and he expected the pace to stay above potential. US Q1 GDP was upgraded to 1.4% from 1.2% also improved US growth performance. And Federal Reserve appears on course for another hike this year as its plans also to start reducing its balance sheet. A shift to tightening bias in world\u2019s biggest central bank is bearish for gold.<\/p>\n<p style=\"text-align: center; margin-bottom: 20px; margin-top: 20px;\"><img decoding=\"async\" style=\"float: none;\" src=\"https:\/\/www.ifcmarkets.com\/uploads\/images\/XAUUSD_03July2017.png\" alt=\"XAUUSD\" width=\"660px\" \/><\/p>\n<p class=\"emailSummary\">The <b>XAUUSD: D1 <\/b> has fallen below the 200-day moving average MA(200) on the daily chart, and son will test the support line of the uptrend.<\/p>\n<ul class=\"emailSummary\">\n<li><a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/parabolic\">Parabolic indicator<\/a> gives a sell signal.<\/li>\n<li>The <b> Donchian channel <\/b> indicates no trend yet: it is flat.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/macd\"> MACD indicator <\/a> is below the signal line and the gap is widening, this is bearish.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/stochastic\">stochastic oscillator<\/a> is falling but has not reached the oversold zone.<\/li>\n<\/ul>\n<p>We believe the bearish momentum will continue after the price closes below the lower Donchian boundary at $1236.27, supported by the fractal low. A pending order to sell can be placed below that level. The stop loss can be placed above the fractal high at $1258.64. After placing the order, the stop loss is to be moved every day to the next fractal high, following Parabolic signals. Thus, we are changing the probable profit\/loss ratio to the breakeven point. The most risk-averse traders may switch to the 4-hour chart after the trade and place there a stop-loss moving it in the direction of the trade. If the price meets the stop loss level ($1258.64) without reaching the order ($1236.27), we recommend canceling the position: the market sustains internal changes which were not taken into account.<\/p><div id=\"inves-3601356120\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<h2 class=\"emailSummary\" style=\"margin-top: 15px !important;\">Technical Analysis Summary<\/h2>\n<table style=\"border: solid 1px black;\" cellspacing=\"0\" cellpadding=\"0\" align=\"left\">\n<tbody>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Position<\/b><\/td>\n<td align=\"left\" valign=\"top\">Sell<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Sell stop<\/b><\/td>\n<td align=\"left\" valign=\"top\">Below 1236.27<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Stop loss<\/b><\/td>\n<td align=\"left\" valign=\"top\">Above 1258.64<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Market Analysis provided by <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener\">IFCMarkets<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By IFCMarkets Earlier shift to policy tightening weighs on gold prices Improved global growth prospects and earlier shift to monetary tightening by central banks is bearish for gold. Will gold continue falling? The shift to monetary tightening by central banks earlier than previously believed weighs on gold price. European Central Bank President Mario Draghi said [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-108435","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/108435","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=108435"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/108435\/revisions"}],"predecessor-version":[{"id":108453,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/108435\/revisions\/108453"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=108435"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=108435"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=108435"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}