Dukascopy Bank Team
Dukascopy Bank SA
"Gold will likely continue to rally going into Wednesday's session as Tuesday's U.S. stock market selloff was significant and will likely have a knock-on effect on international equity markets over the next 24 hours."
–Edward Meir, INTL FCStone (based on Reuters)
-
Pair's Outlook
The yellow metal began Wednesday's trading above the weekly R1 at 1,242.38, which began to provide support by the end of Tuesday's trading. The commodity price is squeezed in between the mentioned weekly R1 and the 50.00% Fibonacci retracement level, which is located at the 1,248.96 level. Due to the persisting bullish sentiment in the markets it can be assumed that the metal will surge, which means that it would pass the retracement level and move in to the next resistance. Above the 50.00% Fibo the closest resistance is the weekly R2 at 1,256.24 and the 200-day simple moving average at the 1,258.57 level. -
Traders' sentiment
Trader open positions are neutral on Wednesday. Meanwhile, 65% of trader set up orders are set to buy the metal.
Interested in GOLD technicals? Check out the key levels
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.
Recommended Content
Editors’ Picks
EUR/USD climbs to 10-day highs above 1.0700
EUR/USD gained traction and rose to its highest level in over a week above 1.0700 in the American session on Tuesday. The renewed US Dollar weakness following the disappointing PMI data helps the pair stretch higher.
GBP/USD extends recovery beyond 1.2400 on broad USD weakness
GBP/USD gathered bullish momentum and extended its daily rebound toward 1.2450 in the second half of the day. The US Dollar came under heavy selling pressure after weaker-than-forecast PMI data and fueled the pair's rally.
Gold struggles around $2,325 despite broad US Dollar’s weakness
Gold reversed its direction and rose to the $2,320 area, erasing a large portion of its daily losses in the process. The benchmark 10-year US Treasury bond yield stays in the red below 4.6% following the weak US PMI data and supports XAU/USD.
Here’s why Ondo price hit new ATH amid bearish market outlook Premium
Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.
Germany’s economic come back
Germany is the sick man of Europe no more. Thanks to its service sector, it now appears that it will exit recession, and the economic future could be bright. The PMI data for April surprised on the upside for Germany, led by the service sector.