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
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Mixed
Gold
Bullish
GBP/USD
Bearish
USD/JPY
Bearish
More View more
Real Time News
  • #Gold Price Forecast: $XAUUSD Pre-Election Breakdown to Monthly Lows - https://t.co/qfEko0woN7 https://t.co/vvWdrxOQMP
  • ECB sources - policymakers favoured more bond purchases, others TLTRO and others a mix of both $EUR
  • The Nasdaq 100 has now been selling off for more than two weeks, and the US Election is on the calendar for next Tuesday. Will the #Nasdaq 100 be higher or lower on Wednesday morning?
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.21%, while traders in NZD/USD are at opposite extremes with 68.99%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/NTyhmJYHYm
  • $Gold - right back down to the deeper support zone 1859-1873 Will bulls come in to hold support for the higher-low? https://t.co/k4ndphNSf9 https://t.co/BBSwxrkKXi
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Silver: -0.09% Gold: -0.42% Oil - US Crude: -4.19% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/lwARKXb2XM
  • Hey traders! Get your Thursday Market Update from @DailyFX Chief Strategist @JohnKicklighter 👇 https://t.co/wZeeu1mF39
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇨🇦CAD: -0.22% 🇯🇵JPY: -0.29% 🇦🇺AUD: -0.43% 🇬🇧GBP: -0.60% 🇨🇭CHF: -0.63% 🇪🇺EUR: -0.70% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/rEtMlv24JY
  • Trump says he wants a bigger aid package than Pelosi's - BBG
  • Indices Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Germany 30: 0.55% US 500: 0.53% FTSE 100: 0.40% France 40: 0.28% Wall Street: -0.00% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/6xRjE6wqok
Gold Price Boosted by Flagging US Dollar, Tempered by Risk-On Hints

Gold Price Boosted by Flagging US Dollar, Tempered by Risk-On Hints

2019-10-11 08:56:00
Nick Cawley, Strategist
Share:

Gold (XAU) Price, Charts and Analysis

  • US dollar on the backfoot and below trend support.
  • Positive take from latest US-China trade talks and Brexit negotiations.

Q4 2019 Gold Forecast and Top Trading Opportunities

Gold is back above $1,500/oz. in early trade, boosted by a weak US dollar complex. The US dollar basket (DXY) has opened below recent trend support off the June 25 low for the first time flashing a bearish signal. US President Trump is meeting Chinese Vice Premier Liu He today amid signs that talks are taking a positive shift for the first time since the trade war erupted over 15-months ago. Brexit talks have also taken a turn for the better in the last 24 hours with both sides suggesting there is a pathway forward, the first time that the two sides have agreed on anything for months.

Any progress in talks between the two super powers will be welcome news for financial markets and trigger a fresh risk-on move, pushing the value of the safe-haven US dollar lower. The daily chart below shows today’s trend break, leaving the USD at risk of further falls.

US Dollar Basket Daily Price Chart (April – October 11, 2019)

Gold Price Boosted by Flagging US Dollar, Tempered by Risk-On Hints

Gold continues to re-build a base between $1,480/oz. and $1,490/oz. after the late September/early October sell-off. Current price action is just below the 20- and 50-dma and these moving averages will need to be cleared to allow gold to push higher. Above here, two recent high prints at $1,517/oz. and $1,519.5/oz. need to be closed above to open the way to the September 24 high at $1,535.8/oz.

Gold Price Daily Chart (January – October 11, 2019)

Gold Price Boosted by Flagging US Dollar, Tempered by Risk-On Hints

IG Client Sentiment data show that 64.0% of retail traders are net-long of gold, a bearish contrarian indicator. See how daily and weekly shifts in positioning change trader sentiment.

How to Trade Gold: Top Gold Trading Strategies and Tips

Traders may be interested in two of our trading guides – Traits of Successful Traders and Top Trading Lessons – while technical analysts are likely to be interested in our latest Elliott Wave Guide.

What is your view on Gold – bullish or bearish?? You can let us know via the form at the end of this piece or you can contact the author at nicholas.cawley@ig.comor via Twitter @nickcawley1.

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

DISCLOSURES