Gold prices surged to the highest in four weeks on Friday but failed to remain strong as weekend news concerning the Brexit and the US-China trade negotiations weigh on the yellow metal. The Brexit front seems nearer to the European Union’s assent to a three-month extension to January 31, 2020. On the other hand, Reuters report that trade negotiations between the United States and China have been going smooth with the recent phone call claiming “close to finalizing” part of the Phase One deal. Furthermore, the US announced a raid in Syria that killed ISIS leader Baghdadi easing some more of the geopolitical tension.
As expected, Gold prices surged to their highest level in a month on Friday reaching a high of $1517.82 per ounce just before retreating back to the $1500 handle after entering the overbought zone. The price is currently trading just above the $1506.02 resistance level with the momentum still being bullish. We will keep focusing on the upside, especially on the $1515.75 resistance level.
Support: 1506.02/ 1494.87
Resistance: 1515.75/ 1524.15