Gold Market Wire
News, analysis and commentary for gold traders and investors
The Technical Take
A look at the channel and points of definition in today's session. Right now, the immediate point of interest, aside from any co-ordinated statements from the main Central Banks of the World is whether the 20-Day moving average will hold. the market needs to hold on to the support line to keep the trend alive.
This has been our range for most of 2020 - bar a couple of sessions.
The US Dollar remains a roller coaster, especially against the CHF and Euro, where it has lost significant ground in the past week. Traders are already floating the idea that the high could be in for the US Dollar over the medium term, but, it probably now is hostage to the US Electoral prospect -especially the prospect of Bernie Sanders winning the Democratic nomination -which, as long as it remains alive - is likely to keep a lid on any dollar rally. The idea that a presidential candidate could start to confiscate corporate common stock on behalf of the Government, as Sanders has intimated, is shocking to say the least. And although mostly incidental, the Stock Market's recent fall has been accompanied by US Dollar weakness. It's recovery is putting the brakes on the US currency's recent weakness.