Gold Climbs Above $2,650 on Trade War Concerns
Gold price (XAU/USD) sticks to modest intraday gains near a two-day high, above the $2,650 level, through the first half of the European session as geopolitical risks and US President-elect Donald Trump's tariff plans drive haven flows for the second straight day. Furthermore, sliding US Treasury bond yields keep the US Dollar (USD) depressed near the weekly trough and assist the commodity in building on the overnight bounce from the $2,600 neighborhood, or a one-week low.
Apart from this, a weaker tone around the European equity markets turns out to be another factor that benefits the Gold price. That said, Tuesday's less dovish FOMC minutes, along with prospects for slower rate cuts by the Federal Reserve (Fed), should act as a tailwind for the USD and cap the non-yielding yellow metal. Bulls might also prefer to wait for important US macro data, including the Personal Consumption Expenditure (PCE) Price Index, before placing fresh bets.
RECOMMENDATION
- Buy if the price moves at least to $2,655
- Sell if the price moves at least around $2,645
Resistance Level 2: $2,669
Resistance Level 1: $2,661
Support Level 1: $2,639
Support Level 2: $2,631
DISCLAIMER
Note: This article is only an analysis and not a definitive reference. Pay attention to developments in fundamental and technical aspects in transactions before making investment decisions.
Source: newsmaker.id
