Gold rebounds from weekly lows on USD weakness, trades around $1,490


  • Disappointing consumer sentiment data from the US weighed on the USD.
  • 10-year US Treasury bond yield remains in the negative territory.
  • US Dollar Index posts modest losses below 97.70.

The XAU/USD pair came under strong selling pressure during the European trading hours and fell to a fresh weekly low of $1,483.70. With the Greenback losing its strength during the American session, however, the pair pulled away from its lows and was last seen trading at $1,490, losing 0.16% on a daily basis.

Risk-on flows weighed on gold on Tuesday

Earlier in the day, reports of the UK opposition Labour party backing the call for a snap election eased concerns over a no-deal Brexit and made it difficult for the safe-haven assets to find demand. Additionally, the South China Morning Post (SCMP), a Chinese news outlet, reported that US President Trump and his Chinese counterpart Xi was expected to sign an interim trade deal at the APEC summit in Chine on November 17th. 

The 10-year US Treasury bond yield, which gained more than 3% on Monday, lost more than 1% earlier in the day but retraced a large portion of its daily drop on the back of recovering market sentiment. At the moment, the 10-year US T-bond yield is down 0.35% on the day.

On the other hand, the US Dollar Index, which advanced to a fresh 12-day high of 97.93 on Tuesday, reversed its direction after the Conference Board's Consumer Confidence Index came in at 125.9 in October to miss the market expectation of 128 and helped the pair pull away from lows. At the moment, the index is down 0.06% on the day at 97.68.

Technical levels to watch for

XAU/USD

Overview
Today last price 1489.46
Today Daily Change -3.04
Today Daily Change % -0.20
Today daily open 1492.5
 
Trends
Daily SMA20 1494.39
Daily SMA50 1504.94
Daily SMA100 1464.43
Daily SMA200 1381.75
 
Levels
Previous Daily High 1508.23
Previous Daily Low 1490.1
Previous Weekly High 1517.92
Previous Weekly Low 1481.05
Previous Monthly High 1557.03
Previous Monthly Low 1464.61
Daily Fibonacci 38.2% 1497.03
Daily Fibonacci 61.8% 1501.3
Daily Pivot Point S1 1485.66
Daily Pivot Point S2 1478.81
Daily Pivot Point S3 1467.53
Daily Pivot Point R1 1503.79
Daily Pivot Point R2 1515.07
Daily Pivot Point R3 1521.92

 

 

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