Gold is flashing red despite Yuan devaluation and rising fears of Sino-US trade war. Oversold conditions might yield a minor corrective rally. Gold, widely considered an antithesis to fiat currencies, finds no takers despite rising odds of US-China currency war. At press time, the yellow metal is trading at $1,218.70, having clocked a one-year low od $1,211.65 yesterday. Prices have dropped more than 10 percent in the last three months despite US-China trade war, triggering speculation the yellow metal is losing its safe haven appeal. Further, it is showing no signs of life even though the US and China are closing on a full-blown currency war. The People’s Bank of China (PBOC) is increasingly favoring a weaker Yuan and that could force the Trump administration to retaliate in kind. Moreover, President Trump has already expressed concerns regarding Fed rate hikes. That said, the oversold technical conditions, as shown by the relative strength index (RSI) could put a bid under gold prices. Gold Technical Levels Resistance: $1,223 (50-hour MA), $1,230 (resistance on the hourly chart), $1,239 (200-hour MA). Support: $1,215 (session low), $1,211 (previous day’s low), $1,200 (Psychological level). FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Ripple price analysis: XRP/USD tumbles down, as expert raise some red flags about the coin FX Street 5 years Gold is flashing red despite Yuan devaluation and rising fears of Sino-US trade war. Oversold conditions might yield a minor corrective rally. Gold, widely considered an antithesis to fiat currencies, finds no takers despite rising odds of US-China currency war. At press time, the yellow metal is trading at $1,218.70, having clocked a one-year low od $1,211.65 yesterday. Prices have dropped more than 10 percent in the last three months despite US-China trade war, triggering speculation the yellow metal is losing its safe haven appeal. Further, it is showing no signs of life even though the US… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
