Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Gold Upswing Short-Lived as $1,800 Still a Resistance

CommoditiesOct 26, 2021 20:16
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters.

By Barani Krishnan

Gold bulls trying to hold on to the $1,800 handle and ride it all the way higher are finding it harder than thought.

A day after making a return to settle at the berth it abandoned in mid-September, gold found itself back in the $1,700 territory despite continued weakness in U.S. Treasury yields — its main antidote.

That was even before new record highs across Wall Street on Tuesday for all the three major U.S. stock indexes — S&P 500, Dow and Nasdaq — as American corporations from banking to healthcare, auto, technology and entertainment reported blockbuster Q3 earnings.

To gold’s credit, it didn’t exactly melt down on the stock rally.

Yet, to push safe havens on a day of such an upswing in risk was understandably hard.

“Over a quarter of the way through this earnings season and over 80% of the S&P 500 companies have delivered earnings that topped expectations,” noted Ed Moya, head of research for Americas at online trading platform OANDA.

“Gold may struggle in the short-term as risk appetite is running wildly and most of the inflation news has been priced in.”

U.S. gold futures’ most active contract, December, settled down $13.40, or 0.7%, at $1,793.40 an ounce.

Just a day earlier, it settled at $1,806.80, the first time it had so above the $1,800 level.

Moya said gold may find more resistance hereon as the dollar could bounce on a dovish outcome for the euro from Thursday’s European Central Bank rate decision.

“Gold is forming a range with prices likely to trade through the $1800 level a little while longer,” he added.

Gold Upswing Short-Lived as $1,800 Still a Resistance
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email