Gold prices registered mild growth this morning after the United States signed the Phase One of the US-China Trade Deal today. Gold seemed to have recovered slightly from the previous mark of $1555 against the US Dollar. It was trading in the Asian market at $1556.80 in the early trading session today.
Soon after the signing of Phase One of the US-China deal, Chinese Vice Premier Liu He remarked that it was good for the US to clear China from the list of currency manipulator nations.
However, investors are still concerned about the future. The new trade deal ensures China would increase its annual import from the US by about $200 billion. But, the US is still keeping the option open regarding levying tariffs on Chinese goods. This can lead to further turmoil between the two economic giants of the world.
Gold Price Will Rise Past $1562 Mark
After studying the daily line chart for Gold prices, many trade analysts are of the opinion that Gold is about to register a flag breakout. As a result of this, the pair is expected to face resistance at $1562 and $1573.
The precious metal rose up by 0.64% on Wednesday at a recorded price of $1556. This indicated the possibility of a probable flag breakout. This flag breakout could suggest that Gold/USD might move above the recent highest price and reach to $1573. But, while soaring high, Gold will face resistance at $1562.