Gold responds to Fed's unlimited QE Announcement
The below left is the daily time frame of XAUUSD. The precious metal has appreciated over the last three sessions and is now challenging its black 20-day SMA (aqua ellipse). If it crosses and the SMA turns up, these will be considered as bullish developments Moreover, the RSI is crossing to the bullish side of 50 (blue rectangle), which may be indicative of an underlying bullish momentum. Gold is responding to the unlimited QE policy adopted by the FED. This is because ultimately QE should result in inflation, which tends to lead the precious metal.
Past performance is not an indicator of future results
Chart Source: FXCM Marketscope 2.0
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