flag-gb flag-my flag-zh flag-id flag-th flag-vi

Dollar increases pressure on gold and other commodity assets

Gold is trying to recover from a strong yesterday decline.


On Monday gold came under strong pressure amid strengthening of the American currency. The dollar index rose to its highest values ​​in more than a month of trading.


Gold managed to partially recover its positions thanks to the decline in the US stock market, which was followed today by Asian and European indices. Investors sell risky assets in favor of traditional defensive assets. But the US dollar remains a strong restraining factor for gold, which today maintains an upward movement vector.


On the stock markets, the focus is on the banking scandal. Over the weekend, an international consortium of journalists published an investigation from which it follows that about 90 banks around the world, including such well-known banks as HSBC and Standard Chartered in the period from 1995 to 2017, participated in a money laundering scheme totaling $ 2 trillion.


Investors are deeply concerned about reports of a new wave of the COVID-19 pandemic in Europe. A number of EU countries have already tightened quarantine measures. The UK Prime Minister is expected to announce new restrictions on bars and restaurants today.


A new wave of the pandemic could significantly slow down the recovery of the global economy.


In the economic calendar today it is worth paying attention to the August report on sales in the secondary housing market in the United States and the speech of the head of the Fed Jerome Powell in the US Congress.


The key influence on the dynamics of gold movement will be provided by fluctuations in the dollar index, which is now aimed at updating the highs of trading since the end of July.


The price broke out of the flat at 1940.00-1967.00, provoking the development of a strong downward wave. The bearish scenario is the priority today. We consider the level of 1875.00 as a target.


  • Resistance levels: 1921.00, 1937.00, 1967.00.


  • Support levels: 1875.00, 1853.00, 1793.00.


The main scenario - an increase to 1921.00 and a decline to 1875.00.


An alternative scenario - a correction to 1937.00 and a renewed downward movement.


The current fundamental outlook is neutral. We consider shorts from levels 1921.00 and 1937.00.

Latest news

Deposit Bonus 200%

2021-04-13 10:05:09

Only from April 12, 2021, to May 14, 2021, Deposit Bonus 200% is available for all FortFS clients! Use the advantage to engage for the unique offer within a limited period: activate the deposit bonus and get up to 200% on the deposit amount on your trading account! How to get a Deposit Bonus of […]

Reduced spreads for popular pairs

2021-02-11 15:07:39

FortFS wishes all traders a Happy Chinese New Year! Only from February 8 to March 12, 2021, we reduce spreads for the 4 most popular trading pairs. New values*: EURUSDf: 0.8 GBPUSDf: 0.9 USDJPYf: 1.0 XAUUSDf: 3.5 *These values are valid only for FLEX accounts Hurry up to take advantage of the offer! Learn more about spreads: https://www.fortfs.com/clients/specifications