• Gold continues to find some support ahead of the 200-day SMA, around $1800 mark.
  • A subdued USD demand was seen as a key factor that benefitted the yellow metal.
  • COVID-19 vaccine optimism undermined the safe-haven commodity and capped gains.

Gold has managed to recover an intraday dip to the $1803 region, albeit lacked any strong follow-through buying. The commodity was last seen trading around the $1810 region, nearly unchanged for the day.

A softer tone surrounding the US dollar assisted the dollar-denominated commodity to once again bounce off the $1800 neighbourhood, a support marked by the very important 200-day SMA. However, the optimism over a potential vaccine for the highly contagious coronavirus disease continued denting demand for traditional safe-haven assets and kept a lid on any meaningful move up for the XAU/USD.

The US dollar prolonged its recent downward trajectory and was further pressured by unimpressive US macro data, which raised expectation for more fiscal stimulus from the incoming Biden administration. The greenback was further pressured by a fresh leg down in the US Treasury bond yields, which extended some additional support to the non-yielding yellow metal, though bulls lacked any conviction.

The positive factor, to a larger extent, was offset by the upbeat market mood, which capped the upside for the safe-haven precious metal. The global risk sentiment remained well supported by the progress toward remedies for COVID-19. This, along with the smooth beginning of President-elect Joe Biden's transition to the White House, boosted investors' appetited for perceived riskier assets.

From a technical perspective, the commodity's inability to register any meaningful recovery suggests that the recent selling bias might still be far from being over. In the absence of any major market-moving economic releases, the outlook remains tilted in favour of bearish traders. Hence, any recovery attempt might still be seen as a selling opportunity and runs the risk of fizzling out quickly.

Technical levels to watch


Today last price 1809.44
Today Daily Change 0.34
Today Daily Change % 0.02
Today daily open 1809.1
Daily SMA20 1874.6
Daily SMA50 1888.79
Daily SMA100 1910.41
Daily SMA200 1798.36
Previous Daily High 1818.36
Previous Daily Low 1804.92
Previous Weekly High 1899.14
Previous Weekly Low 1852.8
Previous Monthly High 1933.3
Previous Monthly Low 1860
Daily Fibonacci 38.2% 1813.23
Daily Fibonacci 61.8% 1810.05
Daily Pivot Point S1 1803.23
Daily Pivot Point S2 1797.35
Daily Pivot Point S3 1789.79
Daily Pivot Point R1 1816.67
Daily Pivot Point R2 1824.23
Daily Pivot Point R3 1830.11



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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news Join Telegram

Recommended content

Recommended content

Editors’ Picks

EUR/USD steadies near 1.0550, looks to post modest weekly gains

EUR/USD steadies near 1.0550, looks to post modest weekly gains

EUR/USD has lost its bullish momentum after having climbed above 1.0570 with the initial reaction to the US data in the American session and retreated toward the mid-1.0500s. On a weekly basis, the pair remains on track to close in positive territory. 


GBP/USD struggles to hold above 1.2300

GBP/USD struggles to hold above 1.2300

GBP/USD has edged lower following a jump above 1.2300 in the early American session on Friday. The market mood remains upbeat ahead of the weekend with Wall Street's main indexes posting strong daily gains on upbeat US data. 


Gold stays below $1,830 as US yields edge higher

Gold stays below $1,830 as US yields edge higher

Gold continues to fluctuate below $1,830 on Friday and looks to close the second straight week in negative territory. Fueled by the risk-positive market environment, the benchmark 10-year US Treasury bond yield is up more than 1% on the day, limiting XAU/USD's upside.

Gold News

Why Cardano could surprise over the weekend

Why Cardano could surprise over the weekend

ADA  set to close out the week with a gain on the workday trading week and over the weekend? Central banks signaled that the rate hike cycle is ending, meaning less stress and tight conditions for trading, opening up room for some upside potential with Cardano set to pop above $0.55 and test a significant cap.

Read more

FXStreet Premium users exceed expectations

FXStreet Premium users exceed expectations

Tap into our 20 years Forex trading experience and get ahead of the markets. Maximize our actionable content, be part of our community, and chat with our experts. Join FXStreet Premium today!