{"id":116835,"date":"2017-11-21T09:25:25","date_gmt":"2017-11-21T14:25:25","guid":{"rendered":"http:\/\/countingpips.com\/?p=116835"},"modified":"2018-06-01T15:49:09","modified_gmt":"2018-06-01T15:49:09","slug":"gold-sp500-xausnp-technical-analysis-political-risks-contribute-to-growth-of-precious-metals","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/11\/gold-sp500-xausnp-technical-analysis-political-risks-contribute-to-growth-of-precious-metals\/","title":{"rendered":"GOLD\/SP500 XAUSnP: Technical Analysis &#8211; Political risks contribute to growth of precious metals"},"content":{"rendered":"<div id=\"inves-250305685\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">November 21, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p>By <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener\">IFCMarkets<\/a><\/p>\n<p><strong>Political risks contribute to the growth of precious metals\u2019 prices<\/strong><\/p>\n<p>Gold prices increase on the background of unceasing disagreements between the Republicans and the Democrats in the United States. At the same time, there is a possibility for the stock market to correct after the end of the quarterly earnings season. Will the <a href=\"https:\/\/www.ifcmarkets.com\/en\/trading-conditions\/gold-trading\/xausnp\">XAUSnP quotes <\/a> increase?<\/p>\n<p>The XAUSnP instrument allows to build trading strategies based on gold and the US stock market. It increases when precious metals grow, and the S&amp;P 500 stock index decreases. The investigation of Donald Trump\u2019s victory conditions in the presidential elections in November 2016 resumed in the US. In addition, the US Senate and the House of Representatives suggest two different versions of the tax reform. Their discussion may take a long time. All these increase political risks and contribute to the growth of precious metals\u2019 quotes. An additional factor in favor of the price growth of gold may become the political crisis in Germany. Angela Merkel\u2019s party &#8211; the Christian Democratic Union of Germany, won the parliamentary elections in September 2017, but gained the minimum number of votes since 1949. Because of this, they have not yet managed to form a government in Germany. The Christian-Democratic Union does not succeed in forming a coalition with other parties. This week the trades in the US stock market may be inactive due to the Thanksgiving holiday, which will be held on Thursday.<\/p>\n<p style=\"text-align: center; margin-bottom: 20px; margin-top: 20px;\"><img decoding=\"async\" style=\"float: none;\" src=\"https:\/\/www.ifcmarkets.com\/uploads\/images\/20-11-2017.png\" alt=\"XAUSnP\" width=\"660px\" \/><\/p>\n<p class=\"emailSummary\">On the daily timeframe, <b>XAUSnP: D1<\/b> shows a bullish trend. Meanwhile, it continues to remain in the short-term decreasing channel. Further price growth is possible in case of the worsening of the US economy and the escalation of political risks.<\/p>\n<ul class=\"emailSummary\">\n<li>The <b> Parabolic indicator <\/b> gives a bullish signal.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/bolinger-bands\">Bollinger bands<\/a> have narrowed, which means lower volatility. They are tilted upwards.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/rsi\">RSI indicator <\/a> is above 50. It has formed a positive divergence.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/macd\">MACD indicator <\/a> gives a bullish signal.<\/li>\n<\/ul>\n<p>The bearish momentum may develop in case <b>XAUSnP<\/b> exceeds the last fractal high and the upper Bollinger band at 0.505. This level may serve as an entry point. The initial stop loss may be placed below the 10-year low, the two last fractal lows, the lower Bollinger band and the Parabolic signal at 0.488. After opening the pending order, we shall move the stop to the next fractal low following the Bollinger and Parabolic signals. Thus, we are changing the potential profit\/loss to the breakeven point. More risk-averse traders may switch to the 4-hour chart after the trade and place there a stop loss moving it in the direction of the trade. If the price meets the stop level at 0.488 without reaching the order at 0.505, we recommend cancelling the position: the market sustains internal changes that were not taken into account.<\/p><div id=\"inves-779459750\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<h2 class=\"emailSummary\" style=\"margin-top: 15px !important;\">Summary of technical analysis<\/h2>\n<table style=\"border: solid 1px black;\" cellspacing=\"0\" cellpadding=\"0\" align=\"left\">\n<tbody>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Position<\/b><\/td>\n<td align=\"left\" valign=\"top\">Buy<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Buy stop<\/b><\/td>\n<td align=\"left\" valign=\"top\">above 0,505<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Stop loss<\/b><\/td>\n<td align=\"left\" valign=\"top\">below 0,488<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Market Analysis provided by <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener\">IFCMarkets<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By IFCMarkets Political risks contribute to the growth of precious metals\u2019 prices Gold prices increase on the background of unceasing disagreements between the Republicans and the Democrats in the United States. At the same time, there is a possibility for the stock market to correct after the end of the quarterly earnings season. Will the [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-116835","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116835","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=116835"}],"version-history":[{"count":3,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116835\/revisions"}],"predecessor-version":[{"id":116853,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116835\/revisions\/116853"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=116835"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=116835"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=116835"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}