XAU USD

After falling a big 3% last Monday, gold has been trading in tight ranges since, holding mostly within that day’s range. In other words, it hasn’t fallen any further, although it has also made little upside progress.

Gold just finished its worst month in more than a year, and Bitcoin was a big beneficiary as anti-fiat flows drove into crypto-currencies following the Presidential election win of Donald Trump.

Gold has found some relief from a weaker US dollar and lower yields in the last couple of days, but it could come under renewed pressure as the greenback’s weakness could be temporary, while easing Middle East tension owing to the ceasefire agreement point to lower haven demand.

Last week was the strongest weekly outing for gold since the regional banking crisis in 2023; but gold’s nine-month streak of gains is at risk as the metal finally pulled back in November.

Gold prices surged more than 4.3% this week with a four-day rally now threatening the October downtrend. Battle lines drawn on the XAU/USD technical charts.

The US Dollar has finally found some resistance after filling the FOMC gap from last year, and that goes along with a EUR/USD bounce from the 1.0500 psychological level.

Gold has been heavily sold so far this month, but Friday showed both a doji and an inside bar after the Thursday low printed at a really big level.

Gold prices plunged more than 9% off the record highs with a third weekly decline now testing initial support. Battle lines drawn on the XAU/USD weekly technical chart.

For now, the ongoing hawkish repricing of US rates after Trump's emphatic victory is keeping US dollar and yields underpinned, and buck-denominated gold undermined.

Gold has now put in two consecutive red bars on the weekly and that’s been rare as there’s only been two other occurrences of such in the past seven months. But it’s still too early to say that the metal has topped.

Gold prices were smashed on the night of the election, similar to what showed in 2016 when the US Dollar posed a stark turn-around on news that Donald Trump would prevail.