The price of gold fell during trading today, Tuesday, to its lowest level in four sessions, in light of the rise in the US dollar’s gains against the major currencies, in addition to the decline in demand for safe investment havens in the financial markets, in light of the improvement in the stock markets, with expectations of reducing taxes on American companies.
The current decline in the price of gold is due to the recovery of the price of the US dollar against the major currencies, during today's trading, in light of the high expectations that the Federal Reserve will raise interest rates during its meeting scheduled for next March, which helped increase the demand for the US dollar in the financial markets.
The rise of the US dollar negatively affects the price of gold in the markets, which pushed prices to a further decline during today’s trading, in addition to expectations of more gains in global stock indices in light of the US President Trump’s administration’s desire to develop a plan to support economic growth and reduce taxes on American companies .
Gold maintained its gains during the last period in light of the geopolitical tension in Europe, especially in light of the approach of the far-right candidate in France to reach the presidency, which increased the markets’ fears after it decided to hold a referendum on France’s secession from the European Union.
Technical Analysis Gold price February 22 to 24
The gold price is trading at the level of 1234.75, where the price is trading in a limited range near the pivotal resistance level on the four-hour time frame.
Trading is now taking place at the level of the average moving indicator line, and the MACD indicator shows a negative crossover towards the bearish trend, while the stochastic indicator shows a positive crossover towards the bullish trend on the four-hour time frame.
Therefore, the price is expected to rebound in the short term to target the level of $1222.00 per ounce, until the end of this week's trading.