Despite equity markets maintaining their lead, gold prices also rose last week. The gains in the precious metal come amid the uncertainty due to the Coronavirus outbreak.
The US administration announced that it was working on developing a drug to cure the virus. The precious metal is trading closing to the previous highs made late in December.
XAU/USD Clears Resistance as it Approaches Previous Highs
The precious metal cleared the resistance area of the 1573 – 1569 region. Price action is close to testing the previous highs near 1589.50.
This will be a strong resistance area between 1589.50 and 1594.50. A breakout above this level could send XAUUSD further toward the 1640 level next.
