Subscribe to RSS

XAU/USD – Downside favoured amid risk-on, could test $ 1090 – key support

Markets were caught off-guard after the ECB turned out outrightly dovish, the ECB Chief Draghi citing reconsideration of the policy measures at its March policy meeting. Traders sold-off the EUR across the board on the back of Draghi’s jawboning, with the EUR/USD losing over 100-pips post-decision. This triggered an extensive USD rally and therefore, knocked the bullion (XAU/USD) to 1092.45 lows, before recovering some ground to close the day at 1100.72. Later in the NY session, gold found some support from a weak set of US economic data, as both the weekly claims and Philly Fed manufacturing gauge disappointed markets. However, the prices remained capped below the 100-DMA barrier then placed at 1105.68 and hence, the yellow metal remains exposed to more downside risks.

Currently, the yellow metal trades in the red around 1097 levels, falling once again to resist 1100 barrier. The prices came under renewed selling pressure this session as risk-on moods dominated in full swing as the global equities rallied on increasing stimulus talks from the ECB as well as the BOJ. The greenback benefited the most amid bettering risk conditions, with the US dollar index climbing 0.30% to 99.45. Therefore, amid diminishing demand for safe-havens and a broadly higher US dollar, the precious metal is likely to remain pressured in the day ahead. Moreover, the extension of the rebound in oil prices eased the recent market unrest somewhat and could drive the yellow metal further away from weekly tops.

Technicals – Improving risk-appetite could push gold towards $ 1090

The hourly chart presents a bearish picture for today, with the RSI pointing sharply lower and looks a distance away from oversold territory. Therefore, suggesting more room for declines going forward. To the downside, the immediate support is seen at the upward sloping 100-SMA located 1094.20, below which the horizontal support of 200-SMA at 1090.90 is likely to act as a major support. However, a failure to breach the 100-SMA support, the prices could revert to 1100 levels (psychological levels/ 50-SMA). A break above which opens doors to 100-DMA at 1105.12. However, upside seems limited unless the pair closes above 100-DMA.

XAUUSD

0 commentsback to post

Add your comment

Nickname:
E-mail:
Website:
Comment:

Other articlesgo to homepage

Start Forex Copy Trading your Perfect Partner – FXTM

Start Forex Copy Trading your Perfect Partner – FXTM(0)

Start Forex Copy Trading your Perfect Partner. Join ForexTime cutting-edge forex copy trading programme with ForexTime Invest and match up with a suitable trader. Let them trade while you watch your potential forex profits grow. Link:  Start Copy Trading your Perfect Partner Link:  $500 Welcome Cash Bonus Promo Link:  Receive $30 Tradeable Credit Free Bonus

150% Chinese New Year Bonus Promotion – FXCL Markets

150% Chinese New Year Bonus Promotion – FXCL Markets(0)

150% Chinese New Year Bonus Promotion to all FXCL Markets clients. Deposit any amount to your trading account and Receives 150% Chinese New Year Bonus Promotion Link:  150% Chinese New Year Deposit Bonus Link:  100% Smart Deposit Bonus Link:  130% Youtube Deposit Bonus Available to: All clients. Bonus Offer: 150% Chinese New Year Deposit Bonus

Trading Cryptocurrency with Leverage 1:1000 – NordFX

Trading Cryptocurrency with Leverage 1:1000 – NordFX(0)

NordFX clients are enjoying the ability to Forex Trading the most popular cryptocurrencies Bitcoin, Litecoin and Ethereum using a 1:1000 leverage ratio Link:  Trading Crypto with Leverage 1:1000 Link:  Demo Cup contest prize fund is $42000 Link:  100% Withdrawable Deposit Bonus Link:  55% Deposit Bonus Promotion Why should one trade with us? The trading is

Receive 55% Bonus on your Deposit Money – NordFX

Receive 55% Bonus on your Deposit Money – NordFX(0)

55% Deposit Bonus Promotion to All New and Existing Customers. 55% Bonus on Deposit Fund your account with $100 – $8,000 and receive a trading bonus up to $4,400! Link:  Demo Cup contest prize fund is $42000 Link:  100% Withdrawable Deposit Bonus Link:  55% Deposit Bonus Promotion Available to:  All new and existing accounts Bonus offer: 

Up to 100% Bonus on your initial Deposit – FXtrade777

Up to 100% Bonus on your initial Deposit – FXtrade777(0)

Up to 100% Bonus promotions on your initial Deposit to all FXtrade777 New clients. Get more for your money at FXtrade777 with an unforgettable Up to 100% Welcome Bonus. Link:  Up to 100% Bonus on your initial Deposit Bonus Offer: Up to 100% Bonus promotions on your initial Deposit to all FXtrade777 New clients. FXtrade777

FIFA World Cup Football Matches Tournament – FBS

FIFA World Cup Football Matches Tournament – FBS(0)

FIFA World Cup Football Matches Tournament. Participate in the contest and win the visit to the biggest football tournament of the year in Russia. Link: FIFA World Cup Football Tournament Link:  Just Share a Greeting Card and Gifts Link:  $50 Free Will be credited to Your Account Link:  $88.8 Forex No Deposit Bonus Link:  $123 Forex

100% Withdrawable Deposit Bonus up to $5000 – NordFX

100% Withdrawable Deposit Bonus up to $5000 – NordFX(0)

100% Withdrawable Forex Deposit Bonus up to $5000. The 100% Withdrawable Deposit Bonus and the initial deposit can be withdrawn after the required number of lots is closed. Profits can be withdrawn without restrictions. Link:  Demo Cup contest prize fund is $42000 Link:  100% Withdrawable Deposit Bonus Link:  55% Deposit Bonus Promotion Available to: All

50% First Deposit Bonus Prom – Hirose Financial UK

50% First Deposit Bonus Prom – Hirose Financial UK(0)

50% First Deposit Bonus Promo Maximum Bonus Amount is $1000 for all customers. The 50% Special Bonus offer for Hirose Financial UK customers who make a deposit to Binary Options account. They can withdraw deposit and profit at anytime!! Link:  50% Deposit Bonus Promotion Available to: All new traders Bonus Offer: 50% Special Bonus offer

200% Pending Bonus for your Next Deposits – CTTrade

200% Pending Bonus for your Next Deposits – CTTrade(0)

200% Pending Bonus for the Next Deposits. Just make the re-deposit and during the day we will credit your 200% Pending Bonus. Link:  200% Pending Bonus for the Next Deposits Available to: All new account How to get Pending Bonus? Just make the re-deposit and during the day we will credit your bonus. This bonus

Free SERENITY Tokens New Year Promotion – Grand Capital

Free SERENITY Tokens New Year Promotion – Grand Capital(0)

Receive free SERENITY tokens for Forex, futures and cryptocurrency trading. The promotions is supported by SERENITY. The objective is to promote and brand the platform as a secure trading solution for trader Link:  Receive free SERENITY tokens for trading Link:  $500 Forex No Deposit Welcome Bonus Link:  Up to 444% Profit Receive for a single

read more

Forex Featured BrokerSocial Trading

Contacts and information

ForexDepositNews.com Forex Deposit Bonus, Forex No Deposit Bonus, Forex Live Contest, Forex Demo Contest, Free Forex Bonus Forex Brokers Review and Other All Forex promotions.

ForexDepositNews.com

Social networks

Most popular categories