The gold price is slowing down after two impressive sessions of gains. The risk-on dynamic, which in the last 48 hours largely dominated the markets, is not supporting bullion price, while investors are probably switching some liquidity back to stocks. Technically we have a first support at $1,595, which is today’s low, while a clear break out above $1,630 would open space for further rallies.
Risk-on remains predominant on markets. This is moderately helping the oil price in its attempt at a difficult recovery, as investors are still worried about the huge oversupply that is likely to remain the main topic for the next few months. The WTI price jumped up to $25 in the first part of the week, but for the time being has been unable to continue this recovery. Despite the huge measures agreed by the US Government and the Fed, investors are waiting to see a clearer picture about coronavirus and a possible path to the end of this global problem.
