News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/eReyYRYOn1
  • Last week’s march higher in EUR/USD may well extend further after Friday’s Eurozone economic statistics that will likely turn the ECB more hawkish on monetary policy. Get your weekly Euro forecast from @MartinSEssex here: https://t.co/EWrJy5LfOF https://t.co/NQj5xCdw9b
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHHGbZ https://t.co/uDeIMr1Ks4
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/srqRhfdKUd
  • Cable is pulling off after a strong run; near-term weakness may be the theme before trying to rally again. Get your weekly GBP technical forecast from @PaulRobinsonFX here: https://t.co/030gXzxlEc https://t.co/ux7W6OcBOm
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/FPKAoLQuuI
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9Flsqcxo9 https://t.co/2L5DGk7cxl
  • Dealing with the fear of missing out – or FOMO – is a highly valuable skill for traders. Not only can FOMO have a negative emotional impact, it can cloud judgment and overshadow logic. Learn how you can control FOMO in your trading here: https://t.co/lgDf5cVYOn https://t.co/zRBB1hmhJm
  • USD/CAD has bounced off a key support area on Friday and could potentially charge higher in the coming week as risk-aversion over coronavirus fears has started to dominate market moves. Get your weekly CAD technical forecast from @DColmanFX here: https://t.co/bySyBXTAdr https://t.co/y6UqD0quGN
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sIHrP https://t.co/sPcCTQfaRd
Gold Prices Hit Six-Week High After Trump Press Conference

Gold Prices Hit Six-Week High After Trump Press Conference

Ilya Spivak, Head Strategist, APAC

Talking Points:

  • Gold prices set new 6-week high after Trump press conference
  • Crude oil prices find de-facto strength as the US Dollar drops
  • Even hawkish Fed-speak may fail to break overnight dynamics

Gold prices continued to rise and crude oilprices followed as a press conference with Donald Trump poured cold water on Fed rate hike speculation. The US President-elect did not offer much to markets yearning for details about his on-coming economic policy plans, which have been speculated to boost inflation and force Janet Yellen and company in to a steeper tightening cycle.

Treasury bond yields fell alongside the US Dollar, boosting the appeal of anti-fiat and non-interest-bearing assets including gold. The weaker greenback also offered a lift to the benchmark WTI contract because it is priced in terms of the US currency, even as EIA inventories data showed a much larger build (4.1m barrels) than economists projected (930.1k).

Fed-speak comes back into the spotlight from here after as the lull in high-profile economic data continues. This time around, comments from incoming FOMC voters Patrick Harker and Charles Evans – Presidents of the US central bank’s Philadelphia and Chicago branches – are going to be in focus. Even a broadly hawkish tone may fall on deaf ears however, as we saw earlier in the week.

On balance, this may mean that dynamics established overnight will find follow-through amid continued retracement of “Trump trade” moves. This may bode well for gold and crude oil prices alike, although the latter may find it harder to build significant momentum as risk appetite sours along with confidence in an aggressively hawkish Federal Reserve.

What do traders’ buy/sell decisions say about gold and crude oil price trends? Find out here!

GOLD TECHNICAL ANALYSISGold prices are working on a fourth consecutive advance, which would make for the longest winning streak in two months. A daily close above the 1193.55-99.80 area (38.2% Fibonacci retracement, May 30 low) targets the 50% level at 1215.40. Alternatively, a reversal below the 23.6% Fib at 1166.51 exposes the 14.6% retracement at 1149.85.

Gold Prices Hit Six-Week High After Trump Press Conference

CRUDE OIL TECHNICAL ANALYSISCrude oil prices turned higher after finding support above the $50/barrel figure but falling short of overturning the recent series of lower highs and lows. From here, a daily close above the 14.6% Fibonacci expansion at 52.59 exposes the 23.6% level at 53.75. Alternatively, a reversal below the 38.2% Fib retracement at 50.25 sees the next downside barrier at 48.72, the 50% threshold.

Gold Prices Hit Six-Week High After Trump Press Conference

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To receive Ilya's analysis directly via email, please SIGN UP HERE

Contact and follow Ilya on Twitter: @IlyaSpivak

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES