FX.co ★ Analysis for Gold 04.15.2020 - Upside target at the price of $1.750 reached but potential for another re-test of the $1.750

Corona virus summary:

IMF predicts steepest downturn since the 1930s

The International Monetary Fund slashes its forecasts for global growth and warns of a slump in output this year unparalleled since the Great Depression of the 30s. In its half-yearly forecasts, the IMF says the "Great Lockdown" is likely to cause a dramatic drop in activity that will be far more painful than the recession that followed the banking meltdown of the late 00s.

Technical analysis:

Gold has been trading upwards as I expected. The price reached our yesterday's target at $1.450 and rejected. Anyway, there is still overall upside pressure and potential new upside movement.

Trading recommendation:

Watch for selling buying opportunities on the dips using the 4H time-frame. Gold is now on the bull flag and there is successful test of the middle Bollinger band, which is good indication of the further upside.

Upward targets are set at the price of $1.750

MACD oscillator is showing strong buying pressure from the background, which is strong sign of the demand in control.

Resistance levels are set at the price of $1.750.

Support level is set at the price of $1.707.