US Dollar losses momentum and favors a rebound in gold. XAU/USD remains in ranges, near weekly lows but again above $1280.
Gold reversed its intraday trend following the European Central Bank meeting and Draghi’s press conference. It was moving with a bearish and bottomed at $1276 (January low) and then bounced to the upside rising back above $1280.
Is of writing trades $1282.30/oz, with a bullish tone but still in the range that has been in place since the beginning of the week, between $1276 and $1286.
Economic data from the US failed to boost the US dollar and lower US yields supported the move to the upside in gold. The 10-year bond yield fell to 2.71%, the lowest January 17. In Wall Street, the Dow Jones is flat, and the Nasdaq gains 0.45%.
Technical levels to watch
To the downside, a break below $1276 could trigger a test of the $1270 barrier. While to the upside, the key resistance is seen around the $1285 region, above gold bullish tone will likely intensify targeting $1290. On a wider perspective, a daily close significantly above $1295 is needed to clear the way to more gains.
XAU/USD
Overview: Today Last Price: 1282.76 Today Daily change: -0.36 pips Today Daily change %: -0.03% Today Daily Open: 1283.12Trends: Daily SMA20: 1285.78 Daily SMA50: 1256.99 Daily SMA100: 1235.46 Daily SMA200: 1228.62Levels: Previous Daily High: 1286.52 Previous Daily Low: 1278.7 Previous Weekly High: 1295.9 Previous Weekly Low: 1276.2 Previous Monthly High: 1284.7 Previous Monthly Low: 1221.39 Daily Fibonacci 38.2%: 1281.69 Daily Fibonacci 61.8%: 1283.53 Daily Pivot Point S1: 1279.04 Daily Pivot Point S2: 1274.96 Daily Pivot Point S3: 1271.22 Daily Pivot Point R1: 1286.86 Daily Pivot Point R2: 1290.6 Daily Pivot Point R3: 1294.68
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