The precious metal closed in the red on Tuesday, marking the third day of declines. With prices closing back below the recent breakout levels, the precious metal awaits cues from the ECB’s meeting tomorrow. The dovish forward guidance from the ECB is likely to see gold prices waiting to breakout higher once again.
XAUUSD to Remain Muted in the Short Term
With the US and China trade talks, alongside the ECB meeting tomorrow, gold is likely to remain flat in the short term. However, the rebound to the recently held support level at 1431–1428 remains key. If resistance is formed here, we could expect price action to drift lower. The support at 1404 region will be key as it could post further declines if the support level breaks.
