- Gold struggles to make a decisive recovery on Tuesday.
- US Dollar Index clings to small daily gains.
- 10-year US Treasury bond yield loses recovery momentum.
The troy ounce of the precious metal extended its losses after breaking below the critical $1,500 level and touched its lowest level in nearly a month at $1,486.59. As of writing, the XAU/USD pair was consolidating its daily losses a little above the $1,490 mark, losing 0.43% on a daily basis.
Risk-on flows ease on Tuesday
Easing concerns over a slowdown in the global economic growth amid hopes of major economies' central banks introducing more stimulus allowed risk-on flows to dominate the market action since the second half of the previous week and weighed on the precious metal, which gained more than $200 in the last two months, to trigger a long-overdue correction.
However, the uninspiring macroeconomic data releases from China earlier today caused the market sentiment to turn neutral and helped the pair limit its losses for the time being. Reflecting the weakening risk-appetite, the 10-year US Treasury bond yield is down 0.2% on the day and Wall Street's main indexes are looking to open the day flat.
The macroeconomic docket in the second half of the day won't be featuring any significant data releases and the pair is likely to stay in a consolidation phase below the $1,500 mark unless there is a major development that could impact the market sentiment. In the meantime, the US Dollar Index is posting modest daily gains a little below 98.50 on Tuesday, causing the pair to stay in the territory.
Technical levels to consider
|Today last price||1491.97|
|Today Daily Change||-7.01|
|Today Daily Change %||-0.47|
|Today daily open||1498.98|
|Previous Daily High||1515.22|
|Previous Daily Low||1497.86|
|Previous Weekly High||1557.03|
|Previous Weekly Low||1502.95|
|Previous Monthly High||1554.63|
|Previous Monthly Low||1400.9|
|Daily Fibonacci 38.2%||1504.49|
|Daily Fibonacci 61.8%||1508.59|
|Daily Pivot Point S1||1492.81|
|Daily Pivot Point S2||1486.65|
|Daily Pivot Point S3||1475.45|
|Daily Pivot Point R1||1510.18|
|Daily Pivot Point R2||1521.38|
|Daily Pivot Point R3||1527.54|
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