Gold Price News and Forecast: XAU/USD's bears looking for a discount

FXStreet Team FXStreet

Gold Price Analysis: Bears noting old support for a discount

In the recent good news in markets, the price of the yellow metal has come under renewed pressure. The yellow metal has completed a 38.2% Fibonacci retracement of the weekly bull trend and has closed below the level on a daily basis. The following is a top-down analysis which illustrates where the next opportunity could be on a retest of an old support structure.

Gold Price Analysis: Consolidation at critical weekly lows, bears looking for a discount

The price of gold has been on the back foot this week, breaking below the psychological $1,850s area, plummeting to a fresh weekly low of $1,800.40. Meanwhile, with the Dow above 30,000 and the S&P500 closing at a fresh all-time high this week, there is limited upside for gold in the near-term due to the combination of the vaccine news and the beginning of the Biden transition.

Today, the spot market is consolidated between $1,805.99 and $1,818.23 where it meets the old July resistance and Thanksgiving holidays in the US. ''The recent capitulation in gold will likely mark the end of the consolidation phase,'' analysts at TD Securities explained.

EUR/USD seems fragile below 1.1700 as Middle East war boosts energy prices

The EUR/USD pair trades flat at around 1.1680 during the Asian trading session on Tuesday, but broadly seems vulnerable, being close to its five-week low. The major currency pair is under pressure as surging oil prices due to the United States-Israel war with Iran have increased the risks of higher inflation for the Old Continent.

GBP/USD hovers around 1.3400 with bearish pressure intact

GBP/USD edges higher after three days of losses, trading around 1.3400 during the Asian hours on Tuesday. The technical analysis of the daily chart indicates an ongoing bearish bias, as the pair trades within a descending channel pattern.

Gold sticks to gains above $5,350 amid sustained safe-haven demand; firmer USD caps gains

Gold sticks to its positive bias for the third straight day and trades above the $5,350 level heading into the European session on Tuesday. Concerns about a broader regional conflict in the Middle East continue to weigh on investors' sentiment and underpin demand for the traditional safe-haven bullion.

Stellar risks deeper losses as derivatives metrics turn negative

Stellar is trading red below $0.16 at the time of writing on Tuesday, after a slight recovery the previous day. Weakening derivatives data caps the recovery, while an unfavorable technical outlook projects a deeper correction for the XLM token in the upcoming days.

The market is not panicking it is repricing the probability distribution of Oil and time

At the end of the day, markets do not trade morality or geopolitics. They trade transmission channels. And the only channel that truly matters in this maelstrom runs through the price of energy and the time value of money.

Grass 20% bullish breakout defies broader market weakness

Grass (GRASS) is edging up above $0.30 at the time of writing on Monday. The token’s notable 20% intraday surge stands out amid heightened volatility in the broader crypto market.