Gold Price Prediction – Prices Rise as US Yields Decline

US yields continue to head lower
David Becker


Gold prices rebounded on Tuesday, after sliding for 2-consecutive trading days. Prices moved higher as riskier assets eased. US yields moved lower which weighed on the US dollar which paved the way for higher gold prices. To help buoy the US economy, President Trump said the White House is examining stimulus such as reducing capital-gains taxes, while maintaining that growth remains strong.

Trade gold with FXTM


Regulated By:CySEC, FCA, FSC

Foundation Year:2011

Headquarters:FXTM Tower, 35 Lamprou Konstantara, Kato Polemidia, 4156, Limassol, Cyprus

Min Deposit:$10

Visit Broker

90% of retail CFD accounts lose money

Technical Analysis


Gold prices rebounded on Tuesday as US yields eased and the dollar slipped. Prices are retesting a 6-year high. Prices have pushed back through resistance which is now support near the 10-day moving average at 1,506.  Resistance is seen near the August highs at 1,534. Short term momentum remains negative as the fast stochastic recently generated a crossover sell signal but it has moved out of the overbought territory and continues to have a downward trajectory. Medium-term momentum is turning negative as the MACD (moving average convergence divergence) histogram is printing in the black with a declining trajectory. The MACD is poised to generate a crossover sell signal.

Trump Wants an Interest Rate Cut

The president continues to rip Fed Chair Jerome Powell ahead of the symposium in Jackson Hole Wyoming this week. This was the latest in a string of disparaging remarks from Mr. Trump since appointing Mr. Powell to lead the Fed. Mr. Trump has lauded economic systems, such as in China, where central banks are under tight control, a view that has raised worries among current and former Fed officials.

Separately, Mr. Trump said his administration was looking at various tax cuts including a proposal to reduce capital-gains taxes by indexing them to inflation, a move that would disproportionately benefit wealthy Americans. The president also suggested he could impose the indexing change through regulatory action rather than through Congress.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.