Gold price defied the bearish odds and rebounded firmly towards $1,950 on Wednesday. XAU/USD is set to remain choppy ahead of critical NATO Summit on Ukraine, FXStreet’s Dhwani mehta reports.
Attention turns towards the US top-tier events ahead of the key NATO meeting
“Attention now turns towards a batch of significant US economic releases, including the Durable Good Orders, Markit Preliminary Manufacturing and Services PMIs for fresh trading impetus in gold price. The main event risk, however, for Thursday remains the NATO Summit on Ukraine, in which US President Joe Biden is set to attend with his European counterparts. Ukrainian President Volodymyr Zelensky is invited to address the summit via a video link.”
“If the bullish momentum picks up, then XAU/USD could resume its upside towards the horizontal 100-SMA at $1,956. Ahead of that, gold bulls need to clear the powerful resistance near $1,950 on a sustained basis.”
“21 and 50-SMAs at at $1,930 and $1,933 respectively will limit the declines, below which a retest of the 200-SMA at $1,917 will be on the cards. The March 22 lows of $1,910 will be back on the sellers’ radars should the bears remain unstoppable. The line in the sand for gold optimists emerge at the $1,900 round level.”
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD surpasses 1.0600 to print daily highs
The US Dollar now accelerates its daily pullback and lends extra suppoer to the risk-associated complex on Monday, lifting EUR/USD back above the 1.0600 barrier, or three-day peaks.
GBP/USD gathers extra pace and approaches 1.2700
GBP/USD maintains its positive start to the week and regains further traction on the back of the increasing selling pressure hurting the Greenback at the beginning of the week. Against that, Cable keeps the optimism in place and refocuses on the 1.2700 zone.
Gold gives signs of life and reclaims $2,600/oz
After suffering large losses in the previous week, Gold gathers recovery momentum and trades in positive territory above $2,600 on Monday. In the absence of high-tier data releases, escalating geopolitical tensions help XAU/USD hold its ground.
Bonk holds near record-high as traders cheer hefty token burn
Bonk (BONK) price extends its gains on Monday after surging more than 100% last week and reaching a new all-time high on Sunday. This rally was fueled by the announcement on Friday that BONK would burn 1 trillion tokens by Christmas.
The week ahead: Powell stumps the US stock rally as Bitcoin surges, as we wait Nvidia earnings, UK CPI
The mood music is shifting for the Trump trade. Stocks fell sharply at the end of last week, led by big tech. The S&P 500 was down by more than 2% last week, its weakest performance in 2 months, while the Nasdaq was lower by 3%. The market has now given back half of the post-Trump election win gains.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.