Gold prices once again on the rise as geopolitical matters remain at the fore of investor decision-making processes. The focus has been on Iran, trade wars and now a possibility of Trump's impeachment whereby dozens of House Democrats, now more than two-thirds of the caucus, have come out in support of an impeachment inquiry following the reports that Trump could have well-withheld aid to Ukraine to pressure officials there to investigate the son of political rival Joe Biden. In other news, in his speech at the United Nations General Assembly, Trump turned up the pressure on China as Washington and Beijing seek a trade deal, and called on all countries to act to counter Iran’s regime. The speech fed risk-off sentiment in the market, pushing US benchmark stock indexes broadly lower and safe havens higher.
As expected, Gold prices gained traction during yesterday’s session, reaching a high of $1535.54 per ounce but failed to settle above the $1533.63 resistance level. The price is currently trading just below the $1530 level as the momentum has retreated from the overbought zone but still in the bulls territory. We will be focusing on the upside with the $1544.49 resistance level on our watch.
Support: 1524.15 / 1515.75
Resistance: 1533.63 / 1544.49