The price of gold moved to a new 2019 high and in the processs is trading at the highest level since May 2013. The precious metal will now have traders targeting a 50% retracement of the move down from the 2011 high price of $1921.17 at the $1483.83 level (see chart below).
A lower dollar tends to strenghten the price of gold.
The US dollar index (DXY) is dipping back below the 200 day MA at the 96.806 level. The price is currently at 96.768. The June low reached to 95.84. The low for the year was on January 10 and 95.029. Both are targets on more downside momentum. The DXY tested its 200 day moving average in January February and March. Each time, the price bounced. At the end of June, the price fell below that 200 day moving average but rebounded into July.
Now the index is trying to make another crack to the downside.
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.