Gold Price News and Forecast: XAU/USD bulls struggling to retake controls above $1,950
|Gold Price Analysis: XAU/USD drops 0.5% on dollar strength
Gold is feeling the pull of gravity on Thursday with the US dollar gaining ground against major currencies. The yellow metal is trading near $1,950 at press time – down 0.5% on the day. Meanwhile, the dollar index, which gauges the greenback's value against majors, is up 0.30% at 93.41.
The dollar seems to be drawing bids on the back of the not-so-dovish Fed statement released Wednesday. From a technical analysis perspective, gold looks south, having faced rejection at the top end of a one-month-long descending triangle for the second straight day on Wednesday.
Gold Price Analysis: XAU/USD bulls struggling to retake controls above $1,950
Gold picks up the bids near $1,960 during the pre-Tokyo open Asian trading on Thursday. The yellow metal marked gains the previous day despite posting losses after the US Federal Reserve’s (Fed) monetary policy decision. The reason could be traced from the market’s optimism surrounding the coronavirus (COVID-19) vaccine, as well as expectations US stimulus, ahead of the key day.
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.