Gold rallies 1% $1855 in focus
Fiona Cincotta February 8, 2021 10:52 AM
Gold is surging on the prospect of more money supply. $1855 key resistance comes in to focus.
Gold rallies over 1% boosted by the prospect of increased money supply as the Joe Biden administration kick off negotiations with House Republicans on the covid stimulus bill. A positive outcome could lift gold higher.
Gold closed above $1800 on Friday and has pushed higher across the European session on Monday. Key resistance can be seen at $1855 the confluence of the 200 DMA and the 50 DMA. A breakthrough here could open the door to February’s high $1875.
On the flip side, immediate support can be seen at $1800 psychological level ahead of $1785 Feb 4th low. A daily close below this level could see gold extend losses to $1765.
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