Gold sits at session tops, around $1314 level ahead of Fedspeak

   •  A modest USD profit-taking helps regain positive traction on Tuesday.
   •  The up-move seemed rather unaffected by the prevalent risk-on mood.
   •  A pickup in the US bond yields does little to hinder the positive move.

Gold built on its steady intraday ascent and climbed to fresh session tops, around $1314 level in the last hour, recovering all of the losses recorded in the previous session. 

The precious metal regained positive traction on Tuesday, marking the third day of up-move in the previous four, and was now being supported by a modest US Dollar retracement from the highest level since December.

Despite news of the deal to avert a fresh government shutdown, the greenback witnessed some profit-taking and was seen as one of the key factors boosting demand for the dollar-denominated commodity.

Meanwhile, bullish traders seemed rather unaffected by the prevalent risk-on mood, as depicted by strong gains across equity markets amid growing optimism over a possible resolution to prolonged US-China trade disputes. 

Even a strong follow-through pickup in the US Treasury bond yields did little to dampen the positive mood surrounding the non-yielding yellow metal or hinder the goodish intraday up-move to $1315 supply zone. 

Moving ahead, speeches by several FOMC officials, including the Fed Chair Jerome Powell, will now be looked upon for some meaningful impetus amid absent relevant market moving economic releases

Technical levels to watch

A follow-through buying has the potential to continue lifting the commodity further towards $1321 supply zone en-route multi-month tops, around the $1325-26 region. On the flip side, $1308 level now seems to protect the immediate downside and is followed by support near the $1304-03 region and the $1300 handle.

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD bouncing modestly on disappointing US Consumer Confidence

The shared currency remains pressured by the idea that the ECB will come out with massive stimulus measures in September. US Michigan Consumer Confidence down to 92.1 brakes dollar's gains.


GBP/USD retreats sharply after approaching 1.2200

The GBP/USD pair came under selling pressure after flirting with weekly highs, as a dismal US confidence report brought back risk-off. GBP/USD still up for the week and above the critical 1.2100 level.


USD/JPY: Greenback makes modest progress against Yen, near 106.30

The demand for Yen as a safe-haven currency has been weak in the last three days. The levels to beat for bulls are at the 106.30 and 106.55 resistances.


Gold gives back territory towards a 23.6% retracement

Gold prices were a touch lower by the end of the week, falling -0.68% having travelled between a high of $1,528.00 to a low of $1,503.87, ending the NY session around $1,513. 

Gold News

Four Signs of A Bear Market

I am a believer that the Universe gives you signs. That may sound a bit crazy, but these three charts are three more signs of a bear market. The top chart is the GLD exchange traded fund.

Read more