Previously, it seemed like the heightened risk caused by Russia’s approval of changes to its nuclear doctrine had calmed down for now. However, reports yesterday of an intercontinental ballistic missile being launched at Ukraine have further escalated geopolitical risks. As a result, gold prices rose to 2673.
Additionally, comments by Williams, President of the New York Federal Reserve, about the possibility of further interest rate cuts have encouraged more gold buying, as gold does not generate interest.
Gold appeared to be moving out of its upward channel but is now returning to the trend. However, if this rise is driven mainly by geopolitical risks, it might be temporary. Still, these uncertainties are likely to persist for a while.
Gold/Dollar Expected Range: 2692 – 2644
Please note that the above information does not guarantee profits. Make your trading decisions at your own risk.