The price of gold may give back the advance from the November low ($2537) as it struggles to trade back above the 50-Day SMA ($2668).
By : David Song, Strategist
The price of gold appears to be stuck in a narrow range as it holds above the weekly low ($2622), but bullion may give back the advance from the November low ($2537) as it struggles to trade back above the 50-Day SMA ($2668).
The range-bound price action in gold may turn out to be temporary as it continues to hold below pre-US election prices, and the precious metal may no longer reflect the bullish trend from earlier this year amid the flattening slope in the moving average.
Join David Song for the Weekly Fundamental Market Outlook webinar.
David provides a market overview and takes questions in real-time. Register Here
Nevertheless, data prints coming out of the US may sway gold prices as the Federal Reserve pursues a neutral stance, and the US Non-Farm Payrolls (NFP) report may push the central bank to the sidelines as the update is anticipated to show a 200K rise in November.
In turn, little signs of a looming recession may force the Federal Open Market Committee (FOMC) to keep interest rates on hold in December, and the threat of a policy error may prop up the price of gold as the precious metal offers an alternative to fiat-currencies.
With that said, the price of gold may consolidate over the coming days should if defend the weekly low ($2622), but bullion may struggle to retain the advance from the November low ($2537) amid the flattening slope in the 50-Day SMA ($2668).
Chart Prepared by David Song, Strategist; XAU/USD on TradingView
EUR/USD Struggles to Trade Back Above Former Support Zone
GBP/USD Recovery Vulnerable as Bear Flag Formation Takes Shape
USD/CHF Pullback Faces Positive Slope in 50-Day SMA
USD/CAD Defends Post-US Election Rally to Eye November High
— Written by David Song, Senior Strategist
Follow on X at @DavidJSong
Click the website link below to get our Guide to central banks and interest rates in Q4 2024.
forex.com
See the expectations for the Fed, ECB, and BOJ...and more importantly, what could drive monetary policy in Q4 and beyond!
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The price of gold may give back the advance from the November low ($2537) as it struggles to trade back above the 50-Day SMA ($2668).
The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex, commodity futures, or digital assets, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to FOREX.com or GAIN Capital refer to StoneX Group Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.
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By : David Song, Strategist
Gold Price Outlook: XAU/USD
The price of gold appears to be stuck in a narrow range as it holds above the weekly low ($2622), but bullion may give back the advance from the November low ($2537) as it struggles to trade back above the 50-Day SMA ($2668).
Gold Price Outlook Mired by Flattening Slope in 50-Day SMA
The range-bound price action in gold may turn out to be temporary as it continues to hold below pre-US election prices, and the precious metal may no longer reflect the bullish trend from earlier this year amid the flattening slope in the moving average.
Join David Song for the Weekly Fundamental Market Outlook webinar.
David provides a market overview and takes questions in real-time. Register Here
US Economic Calendar
Nevertheless, data prints coming out of the US may sway gold prices as the Federal Reserve pursues a neutral stance, and the US Non-Farm Payrolls (NFP) report may push the central bank to the sidelines as the update is anticipated to show a 200K rise in November.
In turn, little signs of a looming recession may force the Federal Open Market Committee (FOMC) to keep interest rates on hold in December, and the threat of a policy error may prop up the price of gold as the precious metal offers an alternative to fiat-currencies.
With that said, the price of gold may consolidate over the coming days should if defend the weekly low ($2622), but bullion may struggle to retain the advance from the November low ($2537) amid the flattening slope in the 50-Day SMA ($2668).
XAU/USD Price Chart – Daily
Chart Prepared by David Song, Strategist; XAU/USD on TradingView
- The price of gold may continue to track sideways as it holds within the range bound price action from earlier this week, but a close below the $2630 (78.6% Fibonacci extension) to $2660 (23.6% Fibonacci extension) region may push the precious metal back towards $2590 (100% Fibonacci extension).
- Next area of interest comes in around $2550 (61.8% Fibonacci extension), but a close above the $2630 (78.6% Fibonacci extension) to $2660 (23.6% Fibonacci extension) region brings $2730 (100% Fibonacci extension) back on the radar.
- A breach above the November high ($2762) raises the scope for a test of the October high ($2790), with a break/close above $2790 (50% Fibonacci extension) opening up $2850 (61.8% Fibonacci extension).
Additional Market Outlooks
EUR/USD Struggles to Trade Back Above Former Support Zone
GBP/USD Recovery Vulnerable as Bear Flag Formation Takes Shape
USD/CHF Pullback Faces Positive Slope in 50-Day SMA
USD/CAD Defends Post-US Election Rally to Eye November High
— Written by David Song, Senior Strategist
Follow on X at @DavidJSong
Click the website link below to get our Guide to central banks and interest rates in Q4 2024.
Central Banks Q4 2024 Market Outlook - FOREX.com US
See the expectations for the Fed, ECB, and BOJ...and more importantly, what could drive monetary policy in Q4 and beyond!
Gold Price Outlook Mired by Flattening Slope in 50-Day SMA
The price of gold may give back the advance from the November low ($2537) as it struggles to trade back above the 50-Day SMA ($2668).
The information on this web site is not targeted at the general public of any particular country. It is not intended for distribution to residents in any country where such distribution or use would contravene any local law or regulatory requirement. The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency or CFD contract. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. Any references to historical price movements or levels is informational based on our analysis and we do not represent or warranty that any such movements or levels are likely to reoccur in the future. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.
Futures, Options on Futures, Foreign Exchange and other leveraged products involves significant risk of loss and is not suitable for all investors. Losses can exceed your deposits. Increasing leverage increases risk. Spot Gold and Silver contracts are not subject to regulation under the U.S. Commodity Exchange Act. Contracts for Difference (CFDs) are not available for US residents. Before deciding to trade forex, commodity futures, or digital assets, you should carefully consider your financial objectives, level of experience and risk appetite. Any opinions, news, research, analyses, prices or other information contained herein is intended as general information about the subject matter covered and is provided with the understanding that we do not provide any investment, legal, or tax advice. You should consult with appropriate counsel or other advisors on all investment, legal, or tax matters. References to FOREX.com or GAIN Capital refer to StoneX Group Inc. and its subsidiaries. Please read Characteristics and Risks of Standardized Options.
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Read full topic
