Gold gaps signal momentum as dollar shows fatigue below resistance
The US dollar is weakening below key resistance, while precious metals are printing bullish gaps and improving momentum, suggesting a continued risk-on shift toward hard assets.
XAUUSDDXY
The U.S. dollar continues to struggle below a major resistance level, with technical fatigue setting in. Meanwhile, precious metals are reacting with a series of bullish gaps, breakout invalidations, and improving momentum indicators.
Traders are keeping a close eye on whether the dollar can reclaim the level to reverse the trend, but for now, metals like gold are attracting flows as the greenback falters. The divergence highlights a building rotational shift in the FX and commodity complex.
Source: FXStreet Forex News