Gold continues to hang in there but buyers not able to seize near-term control

The hourly chart is very much in focus for gold right now:

As the dollar fell on Friday, the precious metal caught a solid bid to $2,320 initially. But only to run up against offers at the 200-hour moving average (blue line) before being sent back down to $2,280. The weekly low just above that held before price action stabilised but we are still sitting thereabouts over the last one week i.e. in and around $2,300.

Gold is back up by 0.5% to $2,314 but is still facing resistance from its 200-hour moving average at $2,317 currently. Sellers have been showing up close to the key near-term level and that is limiting any further upside for now.

It’s a more pensive start to the week as the dollar is on edge. However, gold buyers are standing ready to make the most of it on a break of the key near-term level above. That will shift the near-term bias to being more bullish with the 26 April high of $2,352 a notable target. But for now at least, the technical hold above must still be respected.

This article was written by Justin Low at www.forexlive.com.