Gold bulls continue to face stiff resistance at the horizontal 21-Simple Moving Average (SMA) at $2,007. Meanwhile, XAU/USD’s downside appears capped at $1,971, FXStreet’s Dhwani Mehta reports.Gold price is trapped between 21 and 50-SMAs
“A strong cap at $1,971 will likely limit gold’s decline, as the triangle support and the upward-sloping 50-SMA converge at that level. A firm break below that crucial support will open up the further downside towards the $1,950 psychological level, below which the ascending 100-SMA at $1,937 could be probed.”
“immediate resistance is seen at $2,000, above which bulls need to crack the 21-SMA to take on the triangle hurdle at $2,021. The $2,050 round level could emerge as the next relevant resistance on the renewed upside”.
GBP/USD steadies near 1.3100 after UK data.GBP/USD stays relatively quiet near 1.3100 in the European session on Friday despite the upbeat data releases from the UK. In January, the UK economy grew by 0.8%, surpassing the market expectation of 0.2%, and Industrial Production expanded by 0.7%. Investors stay focused on headlines surrounding the Russia-Ukraine conflict.
EUR/USD battles 1.1000 as softer yields outweigh USD rebound.EUR/USD is consolidating the ECB-led declines around 1.1000 amid the US dollar pullback and a risk-off mood. Rising inflation concerns and prolonged Russia-Ukraine war weigh negatively on the Treasury yields, offering support to the currency pair.
Gold tests key support below $2,000 as US escalates pressure on Russia.Gold refreshes intraday low around $1,985 as bears attack a two-week-old ascending support line during early Friday morning in Europe. The yellow metal struggles to cheer the risk-off mood as hopes of faster monetary policy normalization direct traders towards the US dollar.
Bitcoin weakens structural support, hinting at a crash to $30,000.Bitcoin price remains stuck between two crucial levels with no sign of directional bias. The immediate support area that prevented a steep correction seems to be getting weaker with every retest.