Forex Marketz Daily Forex News – Fully Markets Update
Looking at the benchmark and widely trade spot gold futures contract, the yellow metal looks to be in a good position, price wise headed into a new trade week. The gold contract is trading above the key simple moving averages.
Despite continuing to edge higher, the 14 day relative strength index (RSI), on the above daily MT 4 price chart is still not signaling overbought. This means that the spot contract could have more upside momentum before turning lower.
The national election in the United States of America is still the key event throughout the financial and Forex markets as the new week begins. The spot gold contract is no exception. On Saturday Joe Biden, the Democratic nominee for President of the United States won.
He is now President elect. However, outgoing President Donald Trump is refusing to concede. He will try to contest the vote. While he does not have a legitimate path to contest the election, his bluster will cause price volatility and impact the safe haven gold futures contracts.
The economic calendar, for the United States, is quiet to start the week off. The Eurozone is publishing some data. They will release monthly import and export trade data. The Eurozone will also publish the monthly Sentix consumer sentiment index and their monthly balance sheet. Both the Governor of the Bank of England as well as the central Bank’s chief economist are speaking on Monday.
Daily Spot Gold Technical Analysis
With everything said, the first upside barrier for the gold futures contract comes into play at the 6 November high price point. This layer of technical resistance lines up at $1,960 per ounce.
The next upside barrier lines up at $1,975 per ounce with the key psychological barrier of $2,000 per ounce then coming into focus.
On the downside, the immediate layer of technical resistance lines up at $1,930 per ounce with the fifty (50) day simple moving average at $1,915 per ounce the coming into play.
The key psychological and 100 day SMA at $1,900 per ounce then comes into focus.
