fxs_header_sponsor_anchor

News

Gold Price Analysis: XAU/USD buyers eye $1,900 as US Pres. Trump teases ‘good news’ on covid relief bill

  • Gold probes intraday high after the week-start gap-up to $1,890.76.
  • US President Trump is up for providing information on the covid relief bill.
  • Risks remain sluggish amid concerns over US stimulus, year-end holidays.
  • Capitol Hill members eye to tackle the fear of US Government Shutdown on Monday.

Gold prices waver around $1,890-88, up 0.45% intraday, during Monday’s Asian session. That said, the yellow metal jumped from last week’s close of near $1,880 to around $1,891 at the week’s start as traders initially reacted to the Brexit deal passage.

Having initially stepped back from signing the coronavirus (COVID-19) relief bill, already passed by the Congress, US President Donald Trump recently tweeted ‘good news’ on the much-awaited aid package. In the latest update, the Washington Post said Capitol Hill members are ready to “make one last attempt to avert a shutdown on Monday.”

Other than the stimulus update, comments from AstraZeneca CEO Pascal Soriot that their covid vaccine is effective against new strain joins Brexit deal passage to favor the risks.

That said, S&P 500 Futures pierce the 3,700 mark to print a 0.23% intraday gain versus the mild losses before a few minutes.

Looking forward, off in major markets and the year-end holiday season may challenge the gold price momentum. However, positive news on the US relief bill can favor the bulls. It should, however, be noted that the American government will be shut down if policymakers fail to approve the bills before Tuesday ends. The same can weigh risks and probe gold buyers afterward.

Technical analysis

An ascending trend line from November 30, at $1,879 now, restricts the short-term downside of the metal. Meanwhile, gold bulls can keep attacking $1,900 while targeting a five-week-old resistance line, at $1,928.50 now.

 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.