Gold Price News and Forecast: XAU/USD prices drop
|Gold technical analysis: Edges sideways, confined by SMAs
Gold is consolidating around its 200-day simple moving average (SMA), after recently collapsing from the resistance ceiling of 1,960-1,974, which has been curbing gains since early September 2019. The converging SMAs and their fairly reduced gradients are fuelling a more neutral demeanour in the commodity.
The short-term oscillators are suggesting directional momentum has somewhat dried up but are leaning ever so slightly towards the downside. The MACD, marginally underneath zero, is merely below its red trigger line, while the RSI is floating beneath its neutral threshold, looking set to deteriorate further. Furthermore, the stochastic oscillator has turned bearish and is endorsing additional dwindling in price. Read more...
Gold prices drop
The shining metal is struggling once again to stay in positive territory. Traders are hoping that Biden’s new stimulus package will get the green light from lawmakers, and that may support the price. Gold is considered as a hedge against inflation, and that is the main play here.
For certain, the metal is likely to see much higher volatility during this week, and the event that is likely to influence the gold prices the most will be the US GDP number. We do not see much of an upside move for the Gold prices because Pfizer has resolved its coronavirus vaccine supply issue. This means that we may see fewer challenges in achieving the main targets. Read more...
Gold Price Analysis: XAU/USD trades with modest losses around $1850 region
Gold traded with a mild negative bias through the early European session and was last seen hovering near daily lows, around the $1850 region.
The precious metal struggled to capitalize on the previous session's bounce from the $1837 region, instead witnessed some selling on the first day of a new trading week. The downtick marked the third consecutive day of a negative move and was sponsored by the underlying bullish sentiment, which tends to undermine demand for the safe-haven XAU/USD. Read more...
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