Gold Price Prediction – Prices Rise Slightly Despite Dollar Gains as Yields Slip

0
25

Gold prices attempted to move higher on Monday but failed to gain traction. The dollar rose again putting capping the upside in the yellow metal. The U.S. 10-year yield tumbled on Monday dropping 7-basis points following the softer than expected U.S. ISM service report.

Technical analysis

Gold prices moved higher but the yellow metal was unable to gain traction. Support is seen near the 10-day moving average near 1,779 and then an upward sloping trend line near $1,762.  Resistance is seen near the 50-day moving average at 1,833.   Short-term momentum has turned positive as the fast stochastic generated a crossover buy signal. Negative medium-term momentum is decelerating as the MACD (moving average convergence divergence) histogram is printing in negative territory with a rising trajectory which points to consolidation. The MACD line is poised to generate a crossover buy signal which would signal to accelerate positive momentum.

U.S. ISM Services…

Read more…