Gold prices advanced on Monday, rising 0.61% on the day. The gains came amid an intraday surge in prices. Christopher Neely, an economist with the St. Louis Fed said that quantitative easing will not affect the US economy in a noticeable way. He stated this after Trump said that the economy would be stronger if the Fed had not raised interest rates.
Can XAUUSD Maintain the Gains?
After briefly testing the resistance level at 1301.50, gold prices retreated from the two-week high. We expect the bullish momentum to continue in the near term as XAUUSD could advance to 1307.50. This marks a retest of the support level which will now see a test of resistance. In the medium term, gold prices will continue to consolidate within the established range.
