Source: PaxForex Premium Analytics Portal, Technical Insight

The price of gold rose on Monday, reaching more than a month's high during the session, as rising coronavirus cases in many countries undermined confidence in a rapid recovery. According to UBS analyst Giovanni Staunovo, there are concerns about the second wave of coronavirus or aggravation of the current outbreak in the USA and Europe, which will slow down the recovery. The World Health Organization reported on Sunday a record increase in the number of cases of infection with coronavirus, the largest increase was recorded in North and Latin America. Two US Federal Reserve officials on Friday warned that the unemployment rate could rise again if the virus is not taken over. 

GOLD/USD, 30 min

Pivot: 1752.57

Analysis:

Provided that the price is above 1744.00, please follow these recommendations:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 1752.57
• Take Profit 1: 1763.50
• Take Profit 2: 1775.00

Alternative scenario:

In case of breakdown of the level 1744.00 and the consolidation of the price above this level, follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 1744.00
• Take Profit 1: 1733.00
• Take Profit 2: 1725.00

Comment:

RSI shows the possibility of ascending momentum.

Key levels:

GOLD/USD, D1

Pivot: 1748.00

Analysis:

As long as the price is above 1705.00, please follow these recommendations:

• Time frame: D1
• Recommendation: long position
• Entry point: 1748.00
• Take Profit 1: 1765.00
• Take Profit 2: 1825.00

Alternative scenario:

In case of breakdown of the level 1705.00 follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 1705.00
• Take Profit 1: 1655.00
• Take Profit 2: 1610.00

Comment:

RSI shows an uptrend in the medium term. 

Key levels: