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.

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
EUR/USD
Mixed
Oil - US Crude
Bullish
Wall Street
Mixed
Gold
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • 🇺🇸 MBA Mortgage Applications (15/JAN) Actual: -1.9% Previous: 16.7% https://www.dailyfx.com/economic-calendar#2021-01-20
  • Want to take your bitcoin trading a top notch? Get your free guide here.https://t.co/00I3lH90OD #DailyFXGuides https://t.co/qX4jP0XAig
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 100.00%, while traders in EUR/JPY are at opposite extremes with 67.79%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/xiQq6K9xPD
  • Heads Up:🇺🇸 MBA Mortgage Applications (15/JAN) due at 12:00 GMT (15min) Previous: 16.7% https://www.dailyfx.com/economic-calendar#2021-01-20
  • If at first you don't succeed..... https://t.co/TrZI7tJ3KP
  • I agree https://t.co/jOe4w5KhcM
  • Big resistance level for $GBPUSD just above 1.37. Price currently attempting to break through but hasn't succeeded yet https://t.co/HW8XfnjWdw
  • Commodities Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.33% Gold: 0.66% Silver: 0.64% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/FztzGen6xU
  • Brush up your knowledge on #tradewars with this tool from DailyFX research briefly outlining trade-war history dating back to the early 1900s here: https://t.co/ZWaL6laTU5 https://t.co/zyMuVa8P2C
  • Forex Update: As of 11:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.48% 🇦🇺AUD: 0.45% 🇨🇦CAD: 0.30% 🇯🇵JPY: 0.09% 🇪🇺EUR: -0.08% 🇨🇭CHF: -0.09% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/TQOXtIy0xY
Gold Prices Surge as Fed Interest Rate Hike Prospects Fizzle

Gold Prices Surge as Fed Interest Rate Hike Prospects Fizzle

Ilya Spivak, Head Strategist, APAC

Talking Points:

  • Gold prices resume upward march as Fed rate hike prospects unwind
  • Topping chart formation negated but negative RSI divergence ominous
  • Crude oil prices stall as twitchy markets eye hurricanes Irma and Jose

Gold prices pushed higher as deteriorating Fed rate hike prospects sank the US Dollar, boosting the appeal of the benchmark anti-fiat asset. The greenback fell to a 15-month low against an average of its top counterparts as the priced-in probability of a third increase in 2017 slipped to 22.6 percent, the lowest yet this year.

Crude oil prices stalled, with upside momentum seemingly undone as markets pondered the potential impact of Hurricane Irma and yet another storm – dubbed “Jose” – now gathering steam over the Atlantic. The WTI contract bounced ahead of EIA inventory flow data but that disappointed, leaving it rudderless.

Looking ahead, a lull in top tier news flow leaves commodities without an obvious catalyst. S&P 500 futures are pointing cautiously lower, hinting gold may continue to build higher as risk aversion weighs on bond yields. Meanwhile, energy prices may be too consumed with weather reports to notice much else.

What is the #1 mistake that traders make, and how can you fix it? Find out here!

GOLD TECHNICAL ANALYSISGold prices overturned a Bearish Engulfing candlestick pattern noted yesterday, punching through resistance marked by the 38.2% Fibonacci expansion at 1344.04. From here, a daily close above the 50% level at 1358.32 targets the 61.8% Fib at 1372.59. Negative RSI divergence warns of ebbing upside momentum, hinting a turn lower may yet materialize. A move back below 1344.04 – now recast as support – exposes the 23.6% expansion at 1326.38.

Gold Prices Surge as Fed Interest Rate Hike Prospects Fizzle

Chart created using TradingView

CRUDE OIL TECHNICAL ANALYSISCrude oil prices sit within a hair of key resistance at 49.73, a barrier marked by a falling trend line capping gains since February and the 50% Fibonacci expansion. A daily close above that exposes the 61.8% level at 50.71. Alternatively, a reversal back belowthe 38.2% Fib at 48.75 opens the door for a retest of the 23.6% expansion at 47.53.

Gold Prices Surge as Fed Interest Rate Hike Prospects Fizzle

Chart created using TradingView

--- 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