Gold Remains Weak Despite Dollar Plunge

Gold Remains Weak Despite Dollar Plunge

The fact of the day:

XAUUSD remains under pressure despite the US dollar index plunge and the stock market rally.

What to expect? 

Earlier this year, XAUUSD had a strong inverse correlation with the greenback and a positive correlation with the US dollar index. However, the yellow metal has been trading around its year lows during the past two weeks while the US dollar index corrected. This fact highlights the weakness of gold, as investors prefer to invest in US bonds with historically high yields this year. Currently, the 1615 - 1622 range remains the main support for the price. If buyers lose this range, the price will head toward 1560. 

XAUUSD, daily timeframe


What else is moving the markets?

  • The Biden administration plans to sell oil from the Strategic Petroleum Reserve to lower fuel prices ahead of next month's congressional elections.
  • The Bank of England intends to delay quantitative tightening until the market is calmer.
  • USDJPY reached 149. The highest level in 32 years.
  • JP Morgan strategists said they are cutting back on their overweight position in equities and trimming their underweight position in bonds due to the increased risk that central banks will make a hawkish policy error.
  • The European Union will not introduce a ceiling on gas prices yet amid political disagreements in the countries of the association and problems with fuel supplies.
  • US500 bounces from the 200-week moving average, which is historical support for the price. The index is up by 1.5% today.



Latest news

The Most Important News For Today
The Most Important News For Today

News is always essential. Especially when we speak about the FOREX market. What is the most important information for today? Let's see together.

Forex News March 29
Forex News March 29

Forex, Crypto, Metals, and Stocks News for March 29. Here’s what you need to know for today:

The Most Important News For Today
The Most Important News For Today

The news is essential if you want to trade. Don't miss our digest, where we'll tell you about the most interesting events, happening right now.

Deposit with your local payment systems

Feel the Team Spirit

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera