Gold hits fresh multi-month tops, around $1545 region


  • Middle East tension spurs demand for perceives safe-haven assets.
  • A sharp fall in the US bond yields remained supportive of the move.
  • Investors now eye US ISM PMI, FOMC minutes for a fresh impetus.

Gold continued scaling higher through the early European session on Friday and climbed to four-month tops, around the $1545 region in the last hour.

The precious metal built on its recent strong gains and gained some strong follow-through traction for the fourth consecutive session on the last trading day of the week amid reviving safe-haven demand. Escalating geopolitical tension in the Middle East triggered a fresh wave of the global risk aversion trade and provided a strong boost to traditional safe-haven assets, including gold.

Gold benefits from escalating geopolitical tensions

Tensions in the Middle East intensified on reports that US airstrike killed Qassem Soleimani, the Iranian general who led the Revolutionary Guards’ Quds force. Iran’s supreme leader, Ayatollah Ali Khamenei, has vowed that “severe retaliation” awaits those who killed the commander and raised prospects of a further escalation in geopolitical tensions in the Middle East.

The risk-off mood was evident from a sea of red across the global equity markets and reinforced by a sharp fall in the US Treasury bond yields, which further played their part in providing an additional boost to the non-yielding yellow metal. Meanwhile, a subdued US dollar price action did little to influence the dollar-denominated commodity or hinder the momentum to the highest level since September 5.

Moving ahead, Friday's release of the US ISM Manufacturing PMI will now be looked upon for some short-term trading impetus later during the early North-American session. The key focus, however, will remain on the latest FOMC monetary policy meeting minutes, which might play a key role in determining the commodity's next leg of a directional move.

Technical levels to watch

XAU/USD

Overview
Today last price 1543.4
Today Daily Change 15.11
Today Daily Change % 0.99
Today daily open 1528.29
 
Trends
Daily SMA20 1488.69
Daily SMA50 1480.73
Daily SMA100 1492.96
Daily SMA200 1422.92
 
Levels
Previous Daily High 1531.31
Previous Daily Low 1517.24
Previous Weekly High 1517.4
Previous Weekly Low 1477.55
Previous Monthly High 1525.1
Previous Monthly Low 1454.05
Daily Fibonacci 38.2% 1525.94
Daily Fibonacci 61.8% 1522.61
Daily Pivot Point S1 1519.92
Daily Pivot Point S2 1511.54
Daily Pivot Point S3 1505.85
Daily Pivot Point R1 1533.99
Daily Pivot Point R2 1539.68
Daily Pivot Point R3 1548.06

 

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!


Latest Forex News

Editors’ Picks

AUD/USD: Above 0.6300 on Good Friday holiday with eyes on China CPI

AUD/USD remains above 0.6300, despite stepping back from the monthly high of 0.6363 to currently around 0.6330, at the start of Friday’s Asian session. Markets in Australia/US are closed for Good Friday, Chinese markets are up with March month inflation data on the cards.

AUD/USD News

USD/JPY: The greenback ticks down, trades above 108.00 figure

USD/JPY consolidates gains above the 108.00 figure. The level to beat for buyers is the 109.50 resistance. USD/JPY bull trend stays intact as the spot trades above the 108.00 handle and the 50/200 SMAs on the four chart.

USD/JPY News

Why stocks are recovering and where next

The S&P 500 index has recovered around half the losses it suffered due to the coronavirus pandemic. Is bad news priced in? How much credit does the Federal Reserve deserve? Where next for equities?

Read more

Gold: Multiple upside barriers before crossing $1,700

Despite probing the multi-year high, marked on Thursday, Gold prices near the key resistances while taking rounds to $1,685 at the start of Friday’s Asian session. The Good Friday holidays in major markets are expected to limit the yellow metal’s moves.

Gold News

Gold: Multiple upside barriers before crossing $1,700

Despite probing the multi-year high, marked on Thursday, Gold prices near the key resistances while taking rounds to $1,685 at the start of Friday’s Asian session. The Good Friday holidays in major markets are expected to limit the yellow metal’s moves.

Gold News

Forex MAJORS

Cryptocurrencies

Signatures