Gold Price News and Forecast: XAU/USD flag breakout suggests scope for a rise to $1,562
|Gold: Mildly positive around $1556 despite trade/political optimism
Gold prices extend the recent recovery from $1,555 while taking rounds to $1,556.80 during the Asian session on Thursday. The precious metal seems to concentrate more on the US dollar (USD) weakness than trade/political headlines that have been positive off-late.
Following the successful phase-one deal signing in ceremony, China’s Vice Premier Liu He recently crossed wires while saying that it was the correct choice for the US to remove China from the currency manipulator list.
Gold Price Analysis: Flag breakout suggests scope for a rise to $1,562
Gold is again looking north and could challenge resistance at $1,562. The yellow metal 0.64% and closed at $1,556 on Wednesday, confirming a bull flag breakout on the daily line chart. The pattern indicates the pullback from recent highs has ended and the rally from lows below $1,450 observed in December has resumed.
The flag breakout has opened the doors for a convincing move above the recent closing high of $1,573. However, on the way higher, the yellow metal will encounter resistance at $1,562 (Jan. 10 close).
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.