Yellow metal soars and gains almost 1% in a few minutes. Lowe US yields favored gold as UK Cabinet meeting brings no certainty.
Gold has risen $10 during the last 60 minutes on the back of Brexit headlines. Uncertainty about the future of UK PM May pushed the Pound to the downside and added support for gold.
The metal moved all day in a small range around $1200 and recently broke to the upside. It climbed above $1203 and jumped to $1215, reaching the highest level since last Friday. Price is holding near the top, with the positive tone intact.
Market participants are digesting the latest news on Brexit. The pound is falling sharply in the market and also equity prices in Wall Street. The risk aversion environment pushed US yield to the downside, adding more support to gold prices.
Levels to watch
To the upside, the next strong resistance could be seen at $1220, followed by $1227 and $1232. Above the key level to watch is $1235: a daily close significantly above would open the doors to more gains. On the flip side, $1208 is now the immediate support followed by $1195 (weekly low).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.