Gold in search of a firm direction, stuck in a range ahead of US data/Powell

  • Fed rate cut expectations continue to lend some support.
  • Positive equities/pickup in the USD demand capped gains.
  • US retail sales data eyed for some impetus ahead of Powell.

Gold lacked any firm directional bias and seesawed between tepid gains/minor losses through the mid-European session on Tuesday.

Currently hovering around the $1414-13 region, the commodity remained well within the previous session's broader trading range, awaiting fresh catalyst from the Fed Chair Jerome Powell's scheduled speech.

Despite Monday's mostly upbeat macro releases from China and the US, firming market expectations that the Fed will eventually cut interest rates later this July continued lending some support to the non-yielding yellow metal.

However, a combination of forces - a mildly positive mood around equities and a goodish pickup in the US Dollar demand, offset the positive factor and capped any meaningful up-move for the dollar-denominated commodity.

The greenback gained some positive traction on Tuesday and was being supported by a fresh wave of selling around the British Pound, which remained depressed amid persistent Brexit-related uncertainties.

Moving ahead, Tuesday's US economic docket - featuring the release of monthly retail sales figures, will be looked upon for some short-term trading impetus ahead of Powell's possible comments on the policy outlook.

Technical levels to watch


Today last price 1414.26
Today Daily Change 0.16
Today Daily Change % 0.01
Today daily open 1414.1
Daily SMA20 1402.5
Daily SMA50 1342.89
Daily SMA100 1318.6
Daily SMA200 1289.42
Previous Daily High 1419.55
Previous Daily Low 1407.94
Previous Weekly High 1427.05
Previous Weekly Low 1386.34
Previous Monthly High 1438.66
Previous Monthly Low 1306.18
Daily Fibonacci 38.2% 1412.38
Daily Fibonacci 61.8% 1415.12
Daily Pivot Point S1 1408.18
Daily Pivot Point S2 1402.26
Daily Pivot Point S3 1396.58
Daily Pivot Point R1 1419.79
Daily Pivot Point R2 1425.47
Daily Pivot Point R3 1431.39



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

Latest Forex News

Editors’ Picks

Bears ignore Aussie holidays, cheer coronavirus news at fresh multi-week low near 0.6815

AUD/USD drops to 0.6814, with an intra-day low of 0.6811, during the early Monday morning in Asia. The fears of China’s coronavirus outbreak are dominating the market’s risk sentiment off-late.


USD/JPY: Coronavirus bearish gap breaks below 109

USD/JPY has dropped heavily in the open, breaking below the 109 handle to print a fresh low of 108.88 as traders prepare for a risk-off week when considering the implications of the Coronavirus. 


Are you anxious about Coronavirus? Well, so are the markets

There's so much we don't know about Coronavirus, which increases the level of concern from public health officials, you & I as well as the markets and we can expect a risk-off start to the week ahead of a pretty major schedule.

Read more

Gold rebounds above $1560

The XAU/USD pair dropped to a daily low of $1556.70 during the European trading hours as the easing worries over coronavirus becoming a global epidemic and a broad-based USD strength put the pair under bearish pressure.

Gold News

GBP ends week on a weak note despite upbeat PMI data

The GBP/USD pair spiked to its highest level since January 7th at 1.3174 on Friday with the initial reaction to the upbeat PMI data from the UK. The pair could remain choppy ahead of BoE’s policy decision.