Gold Price Forecast: Holding on to higher ground in a risk-averse environment
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get all exclusive analysis, access our analysis and get Gold and signals alerts
Elevate your trading Journey.
UPGRADEXAUUSD Current price: $1,928.01
- Stocks plunged, reflecting little hopes for a Russian-Ukrainian war's solution.
- US Federal Reserve chief Powell said he is open to raising the rate by more than 25 bps.
- XAU/USD is partially losing its bullish momentum, but sellers are nowhere to be found.
Gold Price holds ground around $1,925.00 a troy ounce, consolidating despite risk aversion picking up in the American afternoon. The bright metal has been confined to a tight range ever since the day started, trading between 1,921 and 1,938, although it posted a lower high and a lower low on a daily basis, somehow indicating decreased buying interest.
Elsewhere, stocks trade in the red. Wall Street opened higher but quickly changed course amid mounting tensions in the Russian-Ukrainian front, also dented by US Federal Reserve chief Powell. The leader of the central bank is testifying before Congress for a second consecutive day, redoubling his hawkish message, as per stating that he supports a 25 bps hike this month but added that they are prepared to "rise by more than that" in the upcoming meeting or meetings.
Gold Prices short-term technical outlook
The XAUUSD daily chart shows that gold is barely up on a daily basis but still well above bullish moving averages. The Momentum indicator retreated from overbought readings but holds well above its midline, while the RSI indicator consolidates around 66, hinting at absent selling interest.
In the 4-hour chart, the metal is holding a few cents above a bullish 20 SMA, although technical indicators are currently hovering around their midlines, the Momentum heading lower, and the RSI flat at around 52. Gold has an immediate support level at $1,912, but it seems unlikely it could extend its decline in the current risk-averse environment.
Support levels: 1,912.00 1,903.40 1,890.90
Resistance levels: 1,938.10 1,952.20 1,966-40
XAUUSD Current price: $1,928.01
- Stocks plunged, reflecting little hopes for a Russian-Ukrainian war's solution.
- US Federal Reserve chief Powell said he is open to raising the rate by more than 25 bps.
- XAU/USD is partially losing its bullish momentum, but sellers are nowhere to be found.
Gold Price holds ground around $1,925.00 a troy ounce, consolidating despite risk aversion picking up in the American afternoon. The bright metal has been confined to a tight range ever since the day started, trading between 1,921 and 1,938, although it posted a lower high and a lower low on a daily basis, somehow indicating decreased buying interest.
Elsewhere, stocks trade in the red. Wall Street opened higher but quickly changed course amid mounting tensions in the Russian-Ukrainian front, also dented by US Federal Reserve chief Powell. The leader of the central bank is testifying before Congress for a second consecutive day, redoubling his hawkish message, as per stating that he supports a 25 bps hike this month but added that they are prepared to "rise by more than that" in the upcoming meeting or meetings.
Gold Prices short-term technical outlook
The XAUUSD daily chart shows that gold is barely up on a daily basis but still well above bullish moving averages. The Momentum indicator retreated from overbought readings but holds well above its midline, while the RSI indicator consolidates around 66, hinting at absent selling interest.
In the 4-hour chart, the metal is holding a few cents above a bullish 20 SMA, although technical indicators are currently hovering around their midlines, the Momentum heading lower, and the RSI flat at around 52. Gold has an immediate support level at $1,912, but it seems unlikely it could extend its decline in the current risk-averse environment.
Support levels: 1,912.00 1,903.40 1,890.90
Resistance levels: 1,938.10 1,952.20 1,966-40
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.