Gold prices moved lower as it has become viewed as a riskier asset during the most recent sell-off. The dollar moved higher and benefited from the risk-off trade, as US treasury yields broke down below support near the 50-day moving average. As the spread of COVID-19 makes its way through the US and Europe, riskier assets have been sold. Volatility is also perking up. The GVZ which trades on the COBE and measures the “at the money” implied volatility on Gold, rose 7% to 22%.
Trade gold with FXTM Technical analysis
Gold prices moved lower but remain rangebound. Prices are poised to test support is seen near the October lows at 1,872. Resistance is seen near the 10-day moving average at 1,904. Short-term momentum has whipsawed turning negative as the fast stochastic generated a crossover sell signal on the upper end of the neutral range. Medium-term momentum has turned negative […]
October 29, 2020 Published by StockMan