Gold Price News and Forecast: XAU/USD hits new 7.5-year high


Gold Price Analysis: Off intraday top, still on bulls’ radar above $1,750

Gold prices step back from the intraday top, also the highest since October 2012, up 1.06% on a day, while taking rounds to $1,760 amid the early Monday. Although pull back from the short-term ascending trend channel suggests the return of $1,748, the bullion’s further downside is likely to be capped by a two-week-old support line, at $1,740.

In a case where the bears sneak in around $1,740, the monthly support line, close to $1,706, will be the key to watch. Meanwhile, an upside break of the said channel’s resistance, at $1,768 now, might not hesitate to channel the year 2012 peak surrounding $1,795/96.

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Gold extends four-day winning run, hits new 7.5-year high

Gold jumped to a fresh 7.5-year high on Monday even though Federal Reserve's President Jerome Powell ruled out negative rates and stock futures gained altitude. The yellow metal rose to $1,760 per ounce during the Asian trading hours to hit the highest level since November 2012, having eked out gains in each of the preceding four trading days.  

The central bank remains averse to using negative interest rates to respond to the economic impact of the coronavirus pandemic, Federal Reserve's President Jerome Powell told CBS during a 60-minute interview held over the weekend. 

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