Hello Traders,
Gold continues to make higher highs in the Asian session on the back of a weak dollar and expectations of interest rate cuts by the Fed. The CME Fedwatch tool shows a 94% probability of a 25 basis point cut in September, weakening the dollar to its lowest level in nearly four months and boosting gold.
Trade tensions with China escalate over potential restrictions on the technology sector, adding to Trump's militaristic comments on Taiwan.
An indecision candle formed on Friday and on Monday a quick engulfing broke the highs at $2,483.56. Another possible upside breakout zone is forming today, although the RSI is showing signs of exhaustion at 69.17%, which could indicate a correction.
Do you think $2,550 will be reached this week?
I look forward to your comments.
Ion Jauregui - Analyst ActivTrades
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