Gold Intrday More Upside Potential
On Monday, spot gold gained 0.4% to $1,817.7, the highest level since September 2011...
Share this:
On Monday, AstraZeneca, Pfizer and BioNTech released promising phase 1/2 Covid-19 vaccine trial results and are progressing to larger trials. On the other hand, it is reported that U.S. Senate Majority Leader Mitch McConnell and House Minority Leader Kevin McCarthy met with President Donald Trump to discuss the Republican's proposed stimulus bill, which is expected to be released this week.
Spot gold gained 0.4% to $1,817.7, the highest level since September 2011. Despite the fact that vaccine's development should be negative to gold, commodity prices were lifted by expansionary fiscal policy, as spot silver jumped 3.0% to $19.90.
From a technical point of view, spot gold is gaining traction as shown on the 1-hour chart. Currently, it remains trading within a bullish channel drawn from mid-June and has broken above its recent consolidation range. Bullish investors might consider $1,804 as the nearest intraday support level, with prices trending test the next resistances at $1,826 and $1,835. Alternatively, a break below $1,804 might trigger a pull-back to the next support at $1,794.
Source: TradingView, Gain Capital
On Monday, AstraZeneca, Pfizer and BioNTech released promising phase 1/2 Covid-19 vaccine trial results and are progressing to larger trials. On the other hand, it is reported that U.S. Senate Majority Leader Mitch McConnell and House Minority Leader Kevin McCarthy met with President Donald Trump to discuss the Republican's proposed stimulus bill, which is expected to be released this week.
Spot gold gained 0.4% to $1,817.7, the highest level since September 2011. Despite the fact that vaccine's development should be negative to gold, commodity prices were lifted by expansionary fiscal policy, as spot silver jumped 3.0% to $19.90.
From a technical point of view, spot gold is gaining traction as shown on the 1-hour chart. Currently, it remains trading within a bullish channel drawn from mid-June and has broken above its recent consolidation range. Bullish investors might consider $1,804 as the nearest intraday support level, with prices trending test the next resistances at $1,826 and $1,835. Alternatively, a break below $1,804 might trigger a pull-back to the next support at $1,794.
Source: TradingView, Gain Capital
Related tags:
Latest market news
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
Gold Q4 2026 outlook: Resilience in the face of rallying dollar and yields
As we headed towards the latter stages of Q3 and into Q4, the Fed had just hiked rates in a hawkish FOMC meeting, while the likes of the ECB and BoJ had also tightened their respective policies. Oil prices remained elevated amid the prolonged US-Iran conflict. Meanwhile, bond yields were breaking out, and the dollar was higher across the board. Yet, remarkably, gold was still holding in the positive territory for the third quarter, even if it had weakened somewhat in September.
Gold forecast: XAU/USD could take a larger dive after the big rise in yields
Gold prices have been falling in the last few days after last week’s post-FOMC pop faded amid rising interest rate expectations, higher oil prices and a strengthening US dollar. As before, I wasn’t convinced gold would thrive in the current macro backdrop.
Gold, silver slammed as hawkish Fed repricing reignites dollar upside
Gold and silver had held up surprisingly well against surging US yields. Wednesday’s DXY breakout may have changed that equation.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.