Share:
Gold price is looking to build on the previous recovery gains as the Dollar retreats further from four-week highs. Will XAU/USD breach $1,850 on Fed Chair Powell’s speech? FXSTreet’s Dhwani Mehta analyzes the pair’s technical outlook.
“At the moment, the US Dollar is pulling back from monthly highs, as investors turn on the sidelines ahead of Jerome Powell’s speech. A fresh round of volatility is likely to be triggered by his comments, which could offer a fresh boost to the USD at the expense of Gold.”
“The four-week low of $1,860 needs to give way to initiate a fresh downswing toward the $1,850 psychological mark, where the bullish 50DMA aligns. A sustained break below the latter will see further declines toward the January 5 low of $1,825.”
“Gold could revisit the previous day’s high at $1,881 should the recovery regain traction. The next powerful barrier is seen at the $1,900 threshold.”
“It’s worth noting that XAU/USD remains exposed to downside risks so long as it stays below the 21-Daily Moving Average (DMA) at $1,912.”
Share:
Feed news
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
