Moreover, geopolitical concerns also influence the momentum of Gold. US President Donald Trump confirmed new rates in Canada, Mexico and China, with implementation data. The uncertainty about trade tensions increases volatility in the financial markets. However, investors seek refuge in the US dollar instead of benefiting from gold as a traditional safe haven. With the upcoming release of the PCE price index, gold can remain under pressure if inflation data supports a stronger dollar.
Golden (XAU) Technical analysis
Gold Daily Chart – Correction
The daily graph for gold shows that the price has begun to correct lower from the $ 2,900 – $ 3,000 resistance area. Strong support is around $ 2,865; A break below this level can cause a movement in the direction of the $ 2,800 zone. However, a break above $ 2,950 will indicate further upside down. The RSI corrects from the Overboughtegio and suggests further disadvantage. However, the price structure within the rising Brederwedge and the rising channel suggests that this correction will probably create a different buying option, aimed at $ 3,000 and $ 3,200 regions.