{"id":130454,"date":"2018-07-20T08:45:36","date_gmt":"2018-07-20T12:45:36","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=130454"},"modified":"2018-07-20T08:33:35","modified_gmt":"2018-07-20T12:33:35","slug":"trump-attacks-king-dollar-gold-edges-up","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2018\/07\/trump-attacks-king-dollar-gold-edges-up\/","title":{"rendered":"Trump attacks King Dollar, Gold edges up"},"content":{"rendered":"
July 20, 2018<\/div>
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Article by ForexTime<\/a><\/p>\n

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One would have expected U.S President Donald Trump\u2019s criticism of the Federal Reserve\u2019s policy to heavily punish the Dollar and draw opportunistic bears into the vicinity.<\/p>\n

However, the Greenback remains somewhat supported despite easing from yearly peaks with prices trading above 95.00 as of writing.\u00a0 While Trump\u2019s comments on how he was \u201cnot thrilled\u201d by the Federal Reserve\u2019s interest rate rises could create a sense of uncertainty over Washington\u2019s Dollar policy, it is unlikely to derail the Fed from gradually raising interest rates. Trump\u2019s verbal intervention is likely to hit a brick wall, as heightened rate hike expectations ensure that the Dollar reigns supreme across currency markets.<\/p>\n

Focusing on the technical picture, the Dollar Index is bullish on the daily and weekly charts. A solid weekly close above the 95.00 resistance level could seal the deal for further upside, with 96.00 and 96.40 acting as points of interest. Alternatively, a move back below 95.00 may invite a decline towards 94.30 higher low.<\/p>\n

Currency spotlight \u2013 GBPUSD<\/strong><\/p>\n

Sterling weakness was a dominant market theme this week thanks to an appreciating Dollar, disappointing U.K economic data, fading expectations of a BoE rate hike and continuing Brexit uncertainty.<\/p>\n

Matters could be exponentially worsened for the battered Pound today, if the European Union rejects Theresa May\u2019s Brexit white paper. Such a scenario is likely to heavily damage buying sentiment towards the currency as fears of a hard Brexit intensify.<\/p>\n

The GBPUSD continues to fulfil the prerequisites of a bearish trend on the daily charts as there have been consistently lower lows and lower highs. A weekly close below the 1.3000 level could invite a decline towards 1.2950 and 1.2870. Alternatively, a technical rebound towards 1.3115 may offer an opportunity for bears to jump back into the game.<\/p>\n

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Commodity spotlight \u2013 Gold<\/strong><\/p>\n

A broadly stronger Dollar has offered nothing but pain to Gold which is set to conclude the trading week negatively.<\/p>\n

The aggressive depreciation witnessed in recent days continues to highlight how the precious metal remains heavily influenced by the Dollar\u2019s performance and U.S rate hike speculation. With Jerome Powell reinforcing market expectations over the Fed gradually raising rates, Gold is likely to remain vulnerable despite trade tensions weighing on sentiment. With regards to the technical picture, the precious metal is heavily bearish on the daily timeframe. Sustained weakness below $1236 could encourage a decline toward $1209 and $1200, respectively.<\/p>\n

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Disclaimer:\u00a0<\/strong>The content in this article comprises personal opinions and should not be construed as containing personal and\/or other investment advice and\/or an offer of and\/or solicitation for any transactions in financial instruments and\/or a guarantee and\/or prediction of future performance. ForexTime (FXTM), its affiliates, agents, directors, officers or employees do not guarantee the accuracy, validity, timeliness or completeness, of any information or data made available and assume no liability as to any loss arising from any investment based on the same.<\/em><\/p>\n

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\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Article by ForexTime One would have expected U.S President Donald Trump\u2019s criticism of the Federal Reserve\u2019s policy to heavily punish the Dollar and draw opportunistic bears into the vicinity. However, the Greenback remains somewhat supported despite easing from yearly peaks with prices trading above 95.00 as of writing.\u00a0 While Trump\u2019s comments on how he was […]<\/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-130454","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/130454","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=130454"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/130454\/revisions"}],"predecessor-version":[{"id":130458,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/130454\/revisions\/130458"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=130454"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=130454"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=130454"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}