XAU / USD fails to benefit from the dollar decline and remains near $ 1880

• Gold is not favored by the dollar’s fall, it remains negative for the week.
• XAUD / USD with very short-term resistance below $ 1885, tests support at $ 1877.

He oro it is trading unchanged Wednesday around $ 1878, after a rally to $ 1886, followed by a pullback. The precious metal is testing the floor of the day that is at $ 1876 and continues to move sideways, without a clear direction, without being favored by the fall of the dollar.

The decline of the USD / JPY to test 103.00, the rise of the EUR / USD to highs in years and the fall of the DXY to new lows in two years, among others, did not have an impact on the value of the ounce. The XAU / USD had bullish attempts, but these were not confirmed and were followed by reversals.

He gold price was not boosted by dollar weakness. The decline in USD / JPY was not accompanied by a rise in gold. At the same time, the fall of the actions in the American session of Tuesday, had in the price of the metal a moderate retreat. This shows either the stability of the current consolidation range, the low volume and / or the weakness in the usual correlations.

One possible reason limiting the raises is technical. The XAU / USD advance is facing a major resistance zone around the $ 1900 zone. Not only psychological levels coincide with this level, the Fibonacci retracement, but there is also the 20-week moving average, which for gold is a great reference. A weekly close over $ 1900 would point to more raises. But as long as it remains below that average, the metal will be giving a limited profit signal, with the possibility of downward corrections.

Technical levels