AngloGold Ashanti Rises 3.85% As Technicals Signal Rebound From Key Support

Anglogold Ashanti (AU) concluded the latest trading session at $45.57, posting a notable 3.85% gain. This uptick occurs amid volatile gold market conditions, warranting a multi-faceted technical assessment of the stock’s trajectory.
Candlestick Theory
Recent candlestick patterns reveal critical levels after a significant selloff. The June 27 session (-5.35%) formed a long red candle, establishing $43.44 as immediate support. Subsequent price action tested this level twice, with the latest bullish candle (June 30: +3.85%) confirming rejection of lower prices. Resistance is evident near $46.80, aligning with June 24 and June 25 intraday highs. A decisive close above this zone would signal bullish continuation, while failure risks retesting the $43.40 support base.
Moving Average Theory
The 50-day moving average (near $44.20) recently crossed below the 100-day MA (approx. $45.50), reflecting intermediate bearish momentum. However, the price has rebounded above the 50-day MA in the latest session. The 200-day MA (around $41.80) continues rising, underpinning the long-term uptrend. Confluence resistance emerges at $46.00–$46.50, where the 100-day MA and recent swing highs converge. A sustained break above this band would challenge the dominant bearish short-term structure.
MACD & KDJ Indicators
MACD shows a bullish inflection, with its histogram turning positive after a June 27 trough. This follows a prolonged bearish phase where the signal line hovered below zero. KDJ readings are more decisive: The %K line (28) crossed above %D (22) from oversold territory, triggering a buy signal. Notably, KDJ’s recovery precedes price strength, suggesting nascent momentum. Both oscillators align in supporting a near-term rebound scenario, though MACD remains in negative territory, tempering bullish conviction.
Bollinger Bands
Volatility expanded sharply during the June selloff, with price piercing the lower Bollinger Band (20-day SMA basis) multiple times near $43.40. The latest recovery has pushed AU back toward the mid-band ($44.80), while the upper band sits at $47.20. Bollinger Band width contracted 15% post-volatility spike, implying a coiling effect. Price holding above the mid-band would signal bullish control, targeting the upper band.
Volume-Price Relationship
Volume analysis reveals bearish exhaustion: The June 27 selloff (-5.35%) occurred on elevated volume (37.4M shares), suggesting capitulation. Subsequent rallies (June 30: +3.85%) materialized on lower volume (2.57M shares), indicating skepticism about recovery sustainability. However, the June 12–13 surge (over 10% combined) saw volume expansion, affirming that strength requires volume confirmation. Current volume trends lack conviction, warranting caution.
Relative Strength Index (RSI)
The 14-day RSI rebounded sharply from oversold territory (26.5 on June 27) to 52.6, exiting the bearish zone. This rapid recovery from sub-30 reflects robust buying interest near $43.44 support. While not yet overbought, RSI’s ascent suggests upside momentum. Historically, AU has reversed near 70 RSI during rallies (e.g., April peak), making this level a key watch if upside extends.
Fibonacci Retracement
Applying Fib levels to the March–April advance (swing low: $26.42 on March 15; high: $44.17 on April 21) shows AU bounced precisely at the 61.8% retracement ($33.70) in May. Recent consolidation found support near the 38.2% retracement ($43.40). The 23.6% level ($46.80) now acts as immediate resistance – aligning with candlestick resistance. A breach above $46.80 would expose the 0% retracement at $44.17, while failure risks revisiting the 50% retracement at $42.50.
Confluence and Divergence
Confluence supports a rebound thesis: KDJ/MACD bull crosses, RSI exiting oversold, and price defending $43.44 Fib/psychological support align technically. However, volume divergence persists, with recoveries lacking participation. Notably, the March–June downtrend saw Bollinger Band breaks synchronizing with MACD/RSI lows, underscoring consistent momentum signals. Current technical alignment favors upside continuation toward $46.80–$47.20 resistance, though low-volume recoveries imply vulnerability to gold market shifts. A decisive break above $47.20 would invalidate the bearish structure, while failure at $45.00 revises support to $43.40.