Gold steadily climbs to session tops, around $1425 level

  • Reviving safe-haven demand helped regain some positive traction on Wednesday.
  • The prevalent USD buying interest/tempered Fed rate cut bets to cap further gains.

Gold prices edged higher through the early European session on Wednesday and recovered a part of the previous session's slide to near one-week lows.

The precious metal stalled its recent corrective slide from fresh multi-year tops and managed to find decent support near the $1414 region on Tuesday, with reviving safe-haven demand helping regain some positive traction on Wednesday.

The International Monetary Fund on Tuesday lowered its global growth forecast for the second time this year, which fueled concerns over the global economic outlook and turned out to be a key factor that underpinned the precious metal's safe-haven demand. 

However, the latest optimism over a positive trade-related development, coupled with the ongoing US Dollar bullish run to multi-week lows might keep a lid on any strong follow-through up-move for the dollar-denominated commodity.

Moreover, the fact that investors continued scaling back expectations for an aggressive monetary easing by the Fed at its upcoming meeting on July 30-31 might further collaborate towards capping gains or driving flows away from the non-yielding yellow metal.

Hence, it will be prudent to wait for a sustained move beyond weekly tops - around the $1430 region, before traders again start positioning for the resumption of the prior bullish trend and a possible move back towards challenging multi-year tops.

Technical levels to watch


Today last price 1423
Today Daily Change 5.28
Today Daily Change % 0.37
Today daily open 1417.72
Daily SMA20 1412.94
Daily SMA50 1359.13
Daily SMA100 1325.4
Daily SMA200 1295.42
Previous Daily High 1430.16
Previous Daily Low 1414.49
Previous Weekly High 1452.72
Previous Weekly Low 1400.2
Previous Monthly High 1438.66
Previous Monthly Low 1306.18
Daily Fibonacci 38.2% 1420.47
Daily Fibonacci 61.8% 1424.17
Daily Pivot Point S1 1411.42
Daily Pivot Point S2 1405.12
Daily Pivot Point S3 1395.76
Daily Pivot Point R1 1427.09
Daily Pivot Point R2 1436.46
Daily Pivot Point R3 1442.76



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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

How do emotions affect trade?
Follow up our daily analysts guidance

Subscribe Today!    

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD pressured toward 1.17 on Evergrande crisis

EUR/USD is extending its losses, falling toward 1.17. The safe-haven dollar is in demand as the crisis around China's Evergrande deepens and a global slowdown is feared. Tensions toward the Fed decision and also Germany's elections are taking their toll too.


GBP/USD tumbles under 1.37, succumbing to dollar strength

GBP/USD is trading under 1.37, suffering from robust dollar demand. The financial woes of China's Evergrande threaten a drop in global demand. Soaring energy prices are also weighing on sentiment. The Fed and the BOE are eyed later this week.


Gold bears tease five-week low near $1,750, China, Fed eyed

Gold bears regain controls ahead of the key weekly events, down 0.36% intraday near $1,748 heading into Monday’s European session. 

Gold News

Cardano introduces Layer 2 solution Hydra, as ADA price looks to rally 25%

Cardano price is grappling with a crucial support floor on the daily time frame as the big crypto experienced a minor crash. Investors can expect ADA to slice through this barrier before restarting its uptrend.

Read more

Canadian Federal Elections: Not a very crucial vote

Markets are taking a hands-off approach to Monday’s Canadian Federal election between Prime Minister Justin Trudeau's Liberals and Erin O'Toole's Conservatives. 

Read more