Gold sidelined as risk-on prevails

Gold struggles to find a direction and is trading in a tight range between 1,337 and 1,350.
The risk-on mood trade on Wall Street and a strong US dollar keep the yellow metal sideways.

Flavio Tosti Independent Analyst

Gold is trading at around $1,343 a troy once inside Monday’s range.

Since the start of the week, Gold is trading in a tight range between the 1,337 and the 1,350 levels reflecting the uncertainties on the geopolitical picture.

Gold stays under the 1,400 resistance as over the weekend the US-led airstrike fired more than 100 missiles on strategic military facilities in Syria. The market saw it as an isolated event and not the start of a new war. Gold didn’t react as a safe-haven asset in that case. However, uncertainties remain with impending US sanctions on Russia and the ongoing trade war between US and China.

Also keeping a lid on gold prices is the renewed USD strength saw in early European trading on Tuesday as well as the risk-on mood which is now prevailing in the equity market in the US. The three main indices, the S&P 500, the Dow Jones and the Nasdaq are shooting higher, breaking some important technical levels as investors are focusing on the earning season.

Gold 4-hour chart

The technical picture is rather neutral. Supports lie at 1,332.60 and 1,319.30 swing lows while resistances lie at 1,350.60 and 1,365.70 swing highs.

Author

Flavio Tosti

Independent Analyst

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.