Gold weaker below $1,290.00/oz

The safe haven metal stays on the defensive near $1,285/oz.
USD-buying keeps Gold under pressure.
Focus remains on Fed probable rate hike in December.

Pablo Piovano FXStreet

Bullion is losing ground for the second session in a row today, currently navigating the area below $1,290 amidst some recovery in the greenback.

Gold attention to Fed’s rate hike

The renewed buying interest around the buck keeps the downside pressure intact around the safe haven metal in the second half of the week, although the broader consolidative theme in Gold prevailing since late October stays unchanged for the time being.

On the USD-side, the probable rate hike by the Federal Reserve at the December meeting continues to weigh on the safe haven metal.

However, concerns over the lack of a pick up in inflation in the US economy as per recent comments by Chief Yellen and the FOMC minutes seem to have lent support to Bullion and are somewhat limiting the downside.

Gold key levels

As of writing Gold is down 0.23% at $1,289.17 and a breakdown of $1,285.56 (100-day sma) would expose $1,280.55 (21-day sma) and finally $1,274.10 (low Nov.11). On the other hand, the next upside barrier is located at $1,297.70 (high Nov.17) seconded by $1,308.40 (high Oct.16) and then $1,317.10 (high Sep.23).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD holds firm above 1.1900 as US NFP looms

EUR/USD holds its upbeat momentum above 1.1900 in the European trading hours on Wednesday, helped by a broadly weaker US Dollar. Markets could turn cautious later in the day as the delayed US employment report for January will takes center stage.

GBP/USD recovers losses despite rising UK political risks, BoE rate cut bets

Pound Sterling advances against the US Dollar after registering modest losses in the previous session, trading around 1.3650 during the Asian hours on Wednesday. The pair could extend losses as the Pound Sterling faces pressure from rising political risks in the UK and growing expectations of near-term Bank of England rate cuts.

Gold sticks to gains near $5,050 as focus shifts to US NFP

Gold holds moderate gains near the $5,050 level in the European session on Wednesday, reversing a part of the previous day's modest losses amid dovish US Federal Reserve-inspired US Dollar weakness. This, in turn, is seen as a key factor acting as a tailwind for the non-yielding yellow metal ahead of the critical US NFP release.

Bitcoin, Ethereum and Ripple show no sign of recovery

Bitcoin, Ethereum, and Ripple show signs of cautious stabilization on Wednesday after failing to close above their key resistance levels earlier this week. BTC trades below $69,000, while ETH and XRP also encountered rejection near major resistance levels. With no immediate bullish catalyst, the top three cryptocurrencies continue to show no clear signs of a sustained recovery.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

BNB prolonged correction signals deeper bearish momentum

BNB (BNB), formerly known as Binance Coin, is trading below $618 on Wednesday, marking the sixth consecutive day of correction since the weekend. The bearish price action is further supported by rising short bets alongside negative funding rates in the derivatives market.