Gold Analysis 28.11.2019

Gold futures fluctuated in a narrow upward range during the Asian session to see the second session rebound in three sessions from the lowest since November 12, when it tested the lowest since August 2, ignoring the positive stability of the US dollar index According to the inverse relationship between them amid the scarcity of economic data on Thursday by the US economy due to the Thanksgiving holiday in the United States and in the shadow of market pricing of the developments of the trade war between Washington and Beijing.

Gold futures for February delivery rose 0.09% to trade at $ 1,462.50 an ounce compared to the opening at $ 1,461.20 an ounce, knowing that the contracts started the trading session on a bullish gap after yesterday's trading ended At $ 1,460.80 an ounce, while the US dollar index rose 0.02% to 98.35 compared to the opening at 98.33.

We have followed President Donald Trump's signing of a bill supporting Hong Kong protesters, the White House said yesterday, despite the threat of retaliation from China, raising investor concerns about the prospects for resolving trade disputes between Washington and Beijing. To a forthcoming interim trade agreement as part of their efforts to contain the trade war between them, which has recently passed its first year.

Earlier this week, China's Ministry of Commerce reported that senior trade commissioners from Washington and Beijing held a phone call Tuesday morning to discuss how to "resolve key issues". US President Donald Trump also said Tuesday that trade talks with China on The first phase of the trade deal is nearing completion after negotiators from both sides spoke over the phone.

US National Security Adviser Robert O'Brien said Saturday that a trade agreement with China could be reached by the end of this year, and markets are now looking to see if Washington will do 15 percent tariffs on Chinese goods worth $ 160 billion by 15 December will either freeze its decision until further notice.

In another context, we followed yesterday the President of the European Council Donald Tusk expressed that US President Trump may be the biggest challenge facing the euro area, because the latter wants the collapse of the European Union, explaining that Trump welcomed the departure of Britain to the EU, and it always raises questions about the importance NATO and other alliances, he said, adding that for the first time in history, an American president opposes European unity.

In the same vein, we also followed yesterday the EU's chief negotiator, Michel Barnier, who said he would give the highest priority to negotiations on a trade agreement with the UK after Britain leaves the EU. Britain will join the union on January 31 and that they must reach a trade agreement in that period before the end of 2020.

Technical Analysis

Gold is showing some slight bullish bias after approaching our first target 1447.00 yesterday, affected by the positivity of Stochastic, and may test the resistance of the descending sub-channel shown before resuming negative attempts.

In general, we continue to favor the bearish corrective trend unless the price rushes to breach the 1489.00 level and hold above it, noting that the breach of 1447.00 will push the price to 1413.10 as the next corrective target, while the breach of 1462.00 is a positive factor that will push the price to test the pivotal resistance 1489.00 before any new attempt to decline. .

Expected trading range for today is between 1440.00 support and 1462.00 resistance.

Expected trend for today: Bearish.