Article by: ETO Markets

Gold price ends its two-day losing skid in early trading session on Tuesday. The US dollar is weaker, and gold denominated in USD is stronger due to the decreased US Treasury yields. Traders are waiting for the Federal Open Market Committee Meeting Minutes later on, which could provide clues about future policy rate direction and inflation improvement, on a quiet day for US economic data.

Gold recovered, hitting $… once more, the 20-DMA. For the momentum to intensify further, XAU/USD must consistently close over $… per day. Conversely, a consolidation and a daily close below $… would suggest that the decline may be extended.

Technical signs support the upward ahead of the Asian session, as can be seen on the 4-hour chart. $… is the critical resistance level to keep an eye on. Focus will move to $…and then $… if price climbs over that level.