Free Trial

Benefiting From Continued USD Pullback, But Some Resistance Ahead of $1890.

GOLD

Gold continues to recover, up a further 0.80% so far today. We have gotten close to $1890 on a couple of occasions but there appears to be some resistance ahead of this level. We last tracked at $1882. The $1890 region represents highs from early February for the precious metal, so may be acting as a near term resistance point.

  • Gold is back above all key EMA levels. Beyond $1890 lies the $1900, which we haven't been above since early February.
  • Gold's move higher today is in line with USD weakness, with the BBDXY off by around 0.80% at this stage. Reduced risk aversion, evidenced in the equity space, is not diminishing gold demand from a reduced safe haven demand standpoint, although this may have helped limit gains beyond the $1890 level.
  • The bigger driver is the weaker USD trend and yield pull back.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.