The precious metal was seen posting some modest gains right after prices set a new yearly low for 2019. Gold prices recovered but only slightly. The gains were mostly attributed to the weekly squaring off of positions. Economic data is slowing, bringing back the optimism that the US economy is regaining the momentum in growth.
Is XAUUSD Set for a Rebound?
XAUUSD was seen closing with some modest gains on Thursday. The rebound in price came near the 1271 – 1274 region. This also coincides with price breaking out from the falling price channel. With the support level at 1284 – 1285 breached, this is the ideal upside target if the rebound is sustained. To the downside, if gold slips below the previous lows, we could expect further continuation to the downtrend.