Gold collapses after vaccine news further boosted risk appetite

Slobodan Drvenica Windsor Brokers

GOLD

Spot gold collapsed on Monday, being so far down 4.8% for the day, in the biggest daily fall since early August.
The safe-haven metal was sold after news that test for coronavirus vaccine showed more than 90% prevention in a study that greatly boosted risk appetite on hopes in speeding the economic recovery from the pandemic.
Fresh fall has erased all pre-US election gains, with bears pressuring key supports at $1848 (lows of pullback from $2074 record high) and eyeing next pivot at $1836 (Fibo 38.2% of $1451/$2074 upleg).
Clear break of these levels would open way for deeper correction and sideline hopes for fresh attempts through psychological $2000 barrier.
Broken base of thick daily cloud and a cluster of converged daily MA’s at $1900 zone mark key resistances which are expected to keep the upside protected and maintain bearish stance.
Daily studies turned to full bearish setup, adding to negative sentiment.

Res: 1881; 1900; 1914; 1927
Sup: 1848; 1836; 1805; 1782

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD retakes 1.1800 on renewed USD weakness

EUR/USD gains ground after three days of losses, re-attempting 1.1800in the European trading hours on Thursday. The US Dollar sees fresh selling interest across the board, despite hawkish Fed Minutes, as the market mood improves and supports the pair. US Jobless Claims data, Fedspeak and geopolitics remain in focus.

GBP/USD recovers above 1.3500 amid better mood

GBP/USD finds fresh demand and rises back above 1.3500 in the European session on Thursday. Improving risk sentiment and renewed US Dollar weakness are helping the pair recover ground ahead of mid-tier US data releases and Fedspeak.

Gold clings to gains above $5,000 amid safe-haven flows and Fed rate cut bets

Gold sticks to modest intraday gains, above the $5,000 psychological mark, through the first half of the European session, though it lacks bullish conviction amid mixed cues. The third round of US-mediated negotiations between Ukraine and Russia concluded in Geneva on Wednesday without any major breakthrough.

Injective token surges over 13% following the approval of the mainnet upgrade proposal

Injective price rallies over 13% on Thursday after the network confirmed the approval of its IIP-619 proposal. The green light for the mainnet upgrade has boosted traders’ sentiment, as the upgrade aims to scale Injective’s real-time Ethereum Virtual Machine architecture and enhance its capabilities to support next-generation payments. The technical outlook suggests further gains if INJ breaks above key resistance.

Hawkish Fed minutes and a market finding its footing

It was green across the board for US Stock market indexes at the close on Wednesday, with most S&P 500 names ending higher, adding 38 points (0.6%) to 6,881 overall. At the GICS sector level, energy led gains, followed by technology and consumer discretionary, while utilities and real estate posted the largest losses.