Posted by Lulama Msungwa -
Scope Markets


  • Gold fails to find direction as it consolidates
  • Dollar holding the key 90$ level
  • Gold looks up to the Dollar for a bullish direction

Gold price fails to inspire bullish movement as it stays within a consolidation level

The Gold price movement has in recent days has been so uninspiring, with initial gains have dropped in the back end of last week. The upside movement in the Gold price has been capping within a consolidation level at $1830 and $1810. The consolidation zone has been a tough zone for the market to break out in recent days, with the market betting on the Dollar movement to find direction.

It is important for the Gold investors to keep record of the U.S Dollar performance, which has also been trading very quiet within a consolidation mode in recent days, hence the Gold has found it hard to get a direction. We expect the sideways movement for the U.S Dollar and Gold to continue a little longer, and investors might get excited should the Dollar index trade lower and breach the key psychological level at $90.

The Gold bullish movement will rely on the U.S Dollar price dropping below its key support level at $90, which could start to see a market that renews its interest in the U.S Dollar bearish movement.


Gold Prices

The Gold market has clearly been a solid consolidation between $1800 and $1880, with the price failing to breach either up or down due to the subdued pressure from the U.S Dollar index movement that is trading above the key psychological level at $90.

The recent movement of the market has been on a consolidative mode after showing a head and shoulders forming, should the market break up the consolidation zone, we expect to see a rally in the price to the resistance level.

A further bullish movement will be confirmed once the market succeeds to trade past the resistance level at $1875, which could renew a long-term rally for the Gold.

Lulama Msungwa

Research & Markets Analyst

Scope Markets

Share this article:

Disclaimer: The article above does not represent investment advice or an investment proposal and should not be acknowledged as so. The information beforehand does not constitute an encouragement to trade, and it does not warrant or foretell the future performance of the markets. The investor remains singly responsible for the risk of their conclusions. The analysis and remark displayed do not involve any consideration of your particular investment goals, economic situations, or requirements.

Funding Methods

Scope Markets
Scope Markets
Scope Markets
Scope Markets
Scope Markets
Scope Markets
Scope Markets
Scope Markets


Scope Markets
Scope Markets
Scope Markets
Scope Markets

Scope Markets offers institutional and retail trading services to businesses and traders worldwide. Our top management team has more than 20 years of experience in the industry, and we are proud of the solid partnerships we built over the years. Whether it's a business or individual, Scope Markets has a wide range of trading solutions that are compliant, flexible, cost-efficient, innovative, and place the client first.

Contact Us

Registered address:
6160, Park Avenue, Buttonwood Bay, Lower Flat Office Space Front, Belize City, Belize


+44 2030 516959

Risk Warning

Please note that forex trading and trading in other leveraged products involves a significant level of risk and is not suitable for all investors. Trading in financial instruments may result in losses as well as profits and your losses can be greater than your initial invested capital. Before undertaking any such transactions, you should ensure that you fully understand the risks involved and seek independent advice if necessary. Please read and ensure you fully understand our Risk Disclosure.

Legal Information

Scope Markets Ltd is a company registered under Belize with Registration Number 145,138. Scope Markets Ltd is authorized and regulated by the International Financial Services Commission of Belize (“IFSC”) under the license numbers 000274/222 and 000274/221. The registered address of Scope Markets Ltd is, 6160, Park Avenue, Buttonwood Bay, Lower Flat Office Space Front, Belize City, Belize.

Restricted Regions

Scope Markets does not offer its services to the residents of certain jurisdictions. Please read carefully our Restricted Countries document.

This website uses cookies to provide you with the very best experience and to know you better. By visiting our website with your browser set to allow cookies, you consent to our use of cookies as described in our Privacy Policy.

© Copyright 2020 Scope Markets. All Rights Reserved.