Gold: Breaching $4,000 – OCBC

FXStreet Insights Team FXStreet

Gold extended its run-up above another fresh intra-day high of $4,040, OCBC's FX analysts Frances Cheung and Christopher Wong note.

Underlying momentum remains bullish

"US government shutdown persisted, raising concerns on broader economic activity. Underlying momentum remains bullish while RSI is in overbought conditions. Resistance at $4120 (161.8% ext). Support at $3890, $3775 (21 DMA). Recent rally underscores Gold’s unique role as both a hedge against geopolitical stress and a store of value in times of policy and institutional uncertainty."

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD clings to daily gains, still below 1.1900

EUR/USD manages to reverse two daily pullbacks in a row and advances modestly on Thursday, hovering around the 1.1880 zone amid the inconclusive price action around the US Dollar. Meanwhile, weekly Initial Claims rose more than expected last week, while attention is expected to shift to the upcoming US CPI data on Friday.

GBP/USD picks up pace, hits 1.3640

GBP/USD trades with modest gains around 1.3640 so far on Thursday. Indeed, Cable looks to leave behind the weakness seen in the first half of the week in a context of an equally erratic performance in the Greenback and disappoting UK data releases.

Gold stays offered below $5,100

Gold keeps the choppy trade well in place on Thursday, navigating the area below the $5,100 mark per troy ounce amid the lack of clear direction in the Greenback, declining US Treasury yields across the curve and caution ahead of Friday’s publication of US CPI.