Gold Rockets With Fury Over Trump's Attack Decision

Published 07/04/2017, 03:01 pm

gold
Gold inaugurated early trading at 1255.45 low and clocked a 1269.28 Dec-2016-Fresh highs with +$18.83 price action. Yesterday, Trump hinted that US military forces are considering the option of a possible attack on Syrian lands, but no one took his words seriously. Trump had to prove everyone wrong, and the prohibited occured, an attack on Al-Shayrat airfield on Syrian Territories with Tomhauk missiles, but this is not the end of the story.

There are confirmed details that Russian military forces were at Al-Shayrat airfield base which should create further tension between US and Russia, and the biggest beneficiary was gold where markets and traders will consider XAUUSD as a safe haven alternative.

This is not the end of gold bullish ride, and tails will extend further political tension supporting gold bullish forces. The first resistance failed at 1260, the second was tested successfully at 1267 with a minor correction, currently the yellow metal is trading 1263 intraday. Expectations that gold will dilate and extend further gains during the coming hours even though U.S Index is strong 100.68 high today. Gold tends to tweet comfortably despite U.S Dollar performance when economic and political uncertainties creeps into market. Gold next destination is 1275>1280 in case R2 level 1267 fails.

Remark: Although markets are awaiting US NFP data today at 12:30 PM GMT, NFP could have a minor affect on gold due to the above political fundamentals.

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