Gold Shines Again

Gold is finally going higher after a few weeks of almost no volatility. The precious metal is now trading at almost a one-month high at $1,297. The move did not come as much as a surprise considering the weakening US dollar and the long consolidation it has been in for the past month.

News are out that a December raise is becoming unlikely and this impacted the US dollar causing it to lose strength over other currencies. The EUR/USD made a high of 1.1099 earlier today and is now 1.1083, USD/JPY and USD/CAD are losing their gains and it seems that investors' confidence in the US currency has been deflated.

All this takes us again to the all time safe haven - Gold. In the midst of market uncertainty Gold has performed well and this time is not an exception. Gold rose from a low of $1,241 to a high of $1,297 and is currently trading at its highest since the low.

First resistance is now seen at $1,300, second is $1,325 and major resistance is seen at $1,440.

Chart: XAU/USD D1