Gold
Gold price tried to break resistance of 1309$ yesterday but it could not break that major resistance and fall back from higher levels. Again gold is trading in narrow range and its trading in extremely tight range. Yesterday mild gains came due to dollar index profit booking which benefited gold prices and xauusd was able to test 1306$.
Today we have ECB monetary policy. I am certain that there is no surprise rate hike, I am just waiting for ECB chairman’s statement which would give guidance on European economy. ECB is dovish since last year and their tone is getting dovish every past month. We may not see any rate hike in 2019 but more dovish stands from ECB not ruled out.
We also have UK’s GDP numbers. We will see if Brexit fiasco is effecting UK’s GDP. Better than expected numbers would be good sign for overall economy.
Currently gold price trading at 1304.50$. Good support in this precious metal stands at 1298$. If market break and sustain below 1298$. Then expect good pressure in xauusd till 1291$- 1284$.
Resistance in gold chart stands at 1309$. If market break and sustain above 1309$. Then expect good rise in xauusd till 1318$- 1326$.
Conclusion: Gold price outlook for today is positive. Avoid major selling on these levels. Buy in dips would be good idea for now.
More will update to our trading signals subscribers