Lower dollar has the price of gold moving higher

Technical Analysis

Author: Greg Michalowski | gold

Up $16.50 on the day.  Looks toward trend line resistance

The dollars decline (trading at near the lowest level since 2015) has gold moving higher.  

The price of gold is trading up about $16.50 or 0.60% at $1338.72.  The price traded as low as $1308 on Wednesday. 

The move higher has the precious metal looking toward a topside trend line at $1344.36. The high price from 2017 was up at $1357.

Per an earlier post , the dollar index is testing the lowest level since 2015.  A move below that level would be more bearish technically for the greenback. That could spell more upside for the price of gold too.  Be aware.

In the currency markets. 
  • The EURUSD is cracking higher and trades above the 50% retracement at 1.2166
  • The GBPUSD is running away from the 1.3700 level  and the 2017 high at 1.3654. We trade at 1.3731 now. A broken trend line on the hourly chart comes in at 1.3707 and is now risk
  • The USDJPY moved down to 110.906 and tested a lower trend line on the hourly at 110.84 (see chart below). The price is back above the 111.00 level.

By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose