Gold Price Analysis: XAU/USD battle lines drawn ahead of post-debate polls – Confluence Detector

Yohay Elam FXStreet

Gold prices have stabilized around the all-too-familiar $1,900 level after President Donald Trump and former Vice-President Joe Biden clashed in their last televised debate ahead of the elections.

XAU/USD has room to surge if Biden wins and Democrats flip the Senate – as they would approve a generous stimulus package. The second-best outcome is a win for Trump, after which he could force the GOP to approve a deal. The worst outcome is a win for Biden and the Republicans holding the Senate.

Post-debate opinion polls are awaited.

How is the precious metal positioned on the chart?

The Technical Confluences Indicator is showing that initial resistance awaits at $1,902, which is the convergence of the Fibonacci 38.2% one-week, the Fibonacci 23.6% one-day, and the Simple Moving Average 5-15m.

The next cap is $1,909, which is a juncture including the Bollinger Band 15min-Middle, the SMA 5-1h, and the SMA 10-one-day.

Support awaits at $1,893, which is the confluence of the Fibonacci 23.6% one-week and the previous daily low.

Further down, the next cushion is $1,892, which is the meeting point of the previous weekly low and the Fibonacci 23.6% one-month.

Key XAU/USD resistances and supports

Confluence Detector

The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.

Learn more about Technical Confluence

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

USD/JPY eyes August swing low, near 155.20 ahead of US NFP

USD/JPY retests the August monthly swing low during the Asian session on Friday as a more hawkish repricing of BoJ rate-hike bets and a suspected intervention continue to underpin the Japanese Yen. Meanwhile, the US Dollar is seen consolidating the previous day's heavy losses amid soft US bond yields, further weighing on the currency pair as traders keenly await the US NFP report.

AUD/USD consolidates above 0.7200; US NFP awaited

AUD/USD holds steady above 0.7200, near its highest level since mid-May, as bulls await the US NFP report for more cues on the Fed's policy path before placing fresh bets. Meanwhile, the recent decline in US bond yields keeps the US Dollar depressed near its lowest level in over a week and acts as a tailwind for the Aussie amid the RBA's hawkish tilt.

Gold tumbles as blockbuster US NFP lift US Dollar, Treasury yields

Gold (XAU/USD) falls sharply on Friday, snapping a two-day recovery after the US Nonfarm Payrolls (NFP) report surprised strongly to the upside. The metal briefly climbed above $4,500 on Thursday, gaining nearly 2%, but has since erased a large part of that advance.

Crypto’s $638 million buyback boom may not be as bullish as it looks

Decentralized Finance (DeFi) protocols reportedly spent $638 million to buy back their native tokens in August, up 17% from a year earlier. On the surface, the buyback trend suggests the cryptocurrency industry is maturing fast, adopting one of Wall Street’s oldest tools to bolster valuations and distribute revenue. The headline becomes less impressive once the number is opened up.

Why hawkish Bank of Japan expectations aren't enough to sustain the Japanese Yen rally

The Japanese Yen (JPY) experienced a sudden burst higher after falling back below the 160.00 psychological mark against the US Dollar (USD) earlier this week amid a more hawkish repricing of Bank of Japan (BoJ) rate hike expectations.

Diesel’s record $100 warning: The oil shock hiding in plain sight

The Oil market may look calmer than it did a few months ago, but diesel is sending a very different message. The US diesel crack spread, the premium of ultra-low sulphur diesel futures over WTI, recently surged above $100 per barrel for the first time, reaching an intraday record of just over $102.00.