Gold Soars Over Haven Appeal – Dovish Fed Plays
Arslan Butt • 1 min read
The precious metal gold showed strong bullish trends during the Asian session due to escalating concerns in the Middle East and mounting expectations of aggressive Federal Reserve rate cut. The US Federal Reserve President John Williams announced in a speech that the Federal Reserve will perform immediately to support the economy as its better to take preventative measures than to wait for disaster to unfold.
The dovish statement certainly drove sharp bullish price action in GOLD, as investors headed towards safe-haven assets to park their investments amid surprisingly dovish remarks from John Williams.
Coming to the technical side, the precious metal gold has violated the ascending triangle pattern which provided solid resistance at $1,437. Anyhow, the resistance is violated now, and it’s working as a support.
The ascending triangle breakout has opened the room for gold to reach to 1,450 and 1,460. Gold may test these trading levels in the coming week as we don’t have any special economic event to drive fluctuations in the market.
Key Trading Level:1436.23