By - Jamel Lahiani
Today our analysis will be concerned with XAUUSD:
XAUUSD: Gold price is widely followed in financial markets around the world. It was the basis of economic capitalism for hundreds of years until the repeal of the Gold standard. XAUUSD is the price of Gold quoted in US Dollars, which is the common yardstick for measuring the value of Gold across the world.
GRAPHIC 1: XAUUSD DAILY CHART (JULY 19, 2019)
The daily chart of XAUUSD is strongly trending and rally to its highest level since May 2013. The chart breaks the first resistance line in blue, the second resistance line in red and recently the third resistance line in green. A small decrease of the chart could be seen. After, a new push to the upside could be happen. This is explained by from NY Fed vice chair John Williams comments who said that the Fed should act quickly to lower rates at the first sign of economic weakness.
As a consequence, to limit risks traders and investors prefer to buy Gold and sell USD dollars. The chart is at a high level that is considered as pic and the precious metal may need to consolidate further before making its next move. That mean we can enter long position if we have a break of the resistance line in green or the MA14 in red.
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