Gold Price Analysis: XAU/USD looks firmer around $1,900/oz

Gold prices regain traction and hover around the $1,900 area.
Weekly support seems to have turned up in the $1,880 zone.
US stimulus bill, pandemic take centre stage on Wednesday.

Pablo Piovano FXStreet

Prices of the ounce troy of the precious metal regain part of the ground lost following Tuesday’s sharp pullback and manage to reclaim the key $1,900 neighbourhood per ounce.

Indeed, the better mood around the precious metal comes after President Trump’s stimulus proposal of $1.8 trillion came in short of expectations according to House Speaker N.Pelosi.

Also adding to the investors’ appetite for the safe haven metal, the delivery of a successful vaccine against the COVID-19 remains elusive following news that Johnson & Johnson (NYSE: JNJ) and Eli Lilly and Co. (NYSE: LLY) have suspended their trials of their candidate vaccines.

The dollar, in the meantime, trades with a soft bias and also collaborates with the upside momentum in gold.

Gold key levels

As of writing Gold is up 0.64% at $1,903.02 and a breakout of $1,933.28 (monthly high Oct.12) would expose $1992,63 (monthly high Sep1) and finally $2,015.65 (high Aug.18). On the flip side, the next support lines up at $1,882.60 (weekly low Oct.14) followed by $1,873.05 (monthly low Oct.7) and then $1,848.66 (monthly low Sep.24).

XAU/USD

Overview
Today last price	1900.48
Today Daily Change	9.21
Today Daily Change %	0.49
Today daily open	1891.27

Trends
Daily SMA20	1902.22
Daily SMA50	1935.85
Daily SMA100	1866.11
Daily SMA200	1747.88

Levels
Previous Daily High	1925.48
Previous Daily Low	1886.58
Previous Weekly High	1930.62
Previous Weekly Low	1873.01
Previous Monthly High	1992.42
Previous Monthly Low	1848.82
Daily Fibonacci 38.2%	1901.44
Daily Fibonacci 61.8%	1910.62
Daily Pivot Point S1	1876.74
Daily Pivot Point S2	1862.21
Daily Pivot Point S3	1837.84
Daily Pivot Point R1	1915.64
Daily Pivot Point R2	1940.01
Daily Pivot Point R3	1954.54

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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