TipTVFinance

Gold – Fed rate hike talks hurt

FX:XAUUSD   Gold Spot / U.S. Dollar
Resistance - $1218.75, $1232, $1246

Support - $1209.84, $1200, $1191.53

  • Gold’s bullish price RSI divergence followed by a break above hourly 50-MA indicates doors remain open for a test of supply around daily 50-SMA of $1218.75 levels.
  • However, resistance at $1218.75 is likely to stay intact with re-test of $1200 levels seen likely in case prices dip below Asian session low of $1209.84 levels.
  • Daily RSI is still few points away from oversold territory, indicating a re-test of $1200 is likely if prices break below Asian session low.

Yellen hinted at a possible rise in June or July on Friday and that triggered a drop in the yellow metal to $1200 levels.

Investment demand is the primary determinant for the metal price. Gold             needs to be looked at as a hard currency and not a metal. That makes it clear why prices rallied in Q1 – given the falling Fed rate hike bets and negative rates in Japan and Euro             zone. Only a rise in interest rates could hurt gold             , although resulting risk-off in equities could cap losses. As of now, financial markets are quite steady, thus rising Fed rate hike bets are hurting gold             .
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
ZH 繁體中文
AR العربية
Home Stock Screener Forex Signal Finder Cryptocurrency Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators Website & Broker Solutions Widgets Stock Charting Library Feature Request Blog & News FAQ Help & Wiki Twitter
Profile Profile Settings Account and Billing My Support Tickets Contact Support Ideas Published Followers Following Private Messages Chat Sign Out