Gold price extends its robust ascent, reaches an all-time peak on interest decrease speculations on Thursday Morning Trade

On Thursday, the gold price continued its upward trajectory for seven straight days in a row. Reaching an all-time record high at $2,539 going towards the European period. Throughout his half-yearly testimony to Congress on Wed, US Fed’s Powell reiterated prospects for a quick interest rate drop late in the year. That puts the US dollar currently on the evasive. Nearing its lowest value as of the beginning of Feb. Which appears to represent a crucial reason driving the gold upward.

Gold Highlights

Gold prices rose to an all-time high on Thursday, fueled by expectations of a US Fed rate decrease in the month of June.
The US dollar remains at a month’s lows. Providing extra support towards the gold
A milder risk tenor supports a secure asset, notwithstanding an overheated Relative Strength Index.

Gold Fundamental-Technical Perspective

Aside from a typically milder language, worldwide worries from Middle Eastern wars. With fears over the economy of China appear to bolster the secure haven metal value. At this point, Minneapolis Fed’s ‘Kashkari’ dismissed reports of greater policy reduction. That, together with a minor rise in US government bond rates, assists in limiting the dollar’s potential fall. Also, curbs increase for the metal’s value under severely overheated circumstances on the daily graph.

Gold (XAUUSD) Technical Outlook

Bullish Scenario

Based on a technical standpoint, the current breakthrough above the $2,064 to2,062 solid lateral hurdle. With ensuing surge over the $2,100 level was viewed as a crucial signal for optimistic investors. However, the RSI shown on the daily graph has begun indicating severe overvalued circumstances. This suggests that it is best to patiently wait until there is short-term stability or a slight downturn. Prior to attempting to extend the widely recognized immediate upswing. Nonetheless, the gold’s pricing is ready to soar higher to hit the $2,200 psychological threshold.

Bearish Scenario

On the other hand, correction dips are now considered as a buying possibility. With prices remaining confined to the rounded number of $2,100 mark. The stated level could act as a critical milestone. With a significant break potentially dragging the metal’s value down into the $2,064 to2,062 barrier-convert-supporting level. Further follow-up dumping will indicate the fact that XAU versus USD has created a short-term peak. Potentially shifting the trend in the direction of bear speculators.

Daily- Technical Indicators & Signals. Trend-(Bullish)