The price of gold in the European market rose on Friday to rise again, on the verge of reaching the barrier of $ 1,300 an ounce, supported by the decline of the US dollar against a basket of currencies, and affected by the minutes of the recent meeting of the Federal Reserve.
Gold prices rose by 0.8% as of 08:25 GMT to trade at $ 1,293.00 per ounce from the opening level of $ 1,286.26, and recorded a high of $ 1,294.05 and a low of $ 1,286.00.
The dollar index fell 0.1% on Thursday, continuing its losses for the second day in a row, reaching a three-month low of 94.62 points, reflecting the continued decline of the US currency against a basket of currencies, which favors the rise in prices of gold and other metals priced in US dollars .
The fall of the US dollar under pressure is twice as likely to raise US interest rates this year, especially after the minutes of the Federal Reserve's last meeting, published earlier on Wednesday.
The record showed that many US monetary policymakers support a stable interest rate this year and any rate hike will depend only on economic data.
Technical Analysis
Gold kept steady above 1286.70 after yesterday's test to resume positive trading, noting that Stochastic is offering a positive cross signal that we expect the pair to stimulate further gains in the coming sessions.
Therefore, the bullish trend will remain effective for the day provided stability above 1286.70, with the reminder that our next main target resides at 1316.65.
The trading range for today is expected among the support at 1280.00 and resistance at 1316.00
Support and resistance:
Support: 1286.8-1275.00-1266.50
Resistance: 1301.00-1318.00- 1350.00
The general trend for today is bullish