Gold and US Dollars have long been considered as safe-haven investments in times of crisis. While the XAU/USD remains below the key $1,950 mark on Thursday as the greenback maintains its strength. Indeed gold bulls will find that the $1,950 barrier is a difficult one to push.
A Month-long Uptrend
The ongoing trendline offers solid support for the precious metal at $1,904. The raging war in Europe is being closely watched and any developments on that front will intensify risk-aversion sentiments in the upcoming market sessions. The US dollar will probably continue to be a strong safety net that will affect the price of gold.
At this point, buyers look towards acceptance above $1,950 to reinforce the rise towards the high of $1,975. However, if daily markets continue to close below the month-long uptrend support of $1,904 it will trigger a harsh sell-off.
*OspreyFX would like to state that traders should research extensively before following any information given hereby. Any assumptions made in this article are provided solely for entertainment purposes and not for traders to guide or alter their positions. Please read our Terms & Conditions and Risk Disclosure for more information.
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