XAUUSD Fundamental & Technical Analysis - 1st Week of Nov

2 Nov 2020

With the results of the USA presidential elections coming up this week, there is a lot of room for speculation about the future of the U.S. Dollar and the U.S. Market. That being said, many investors are likely to move some or all of their funds to safer assets (usually, assets with intrinsic value). These "safer assets" are often called Safe Havens. Gold has always been the most popular of Safe Havens, and therefore it shouldn't be surprising for Gold to fly up during/after the elections. Although, for Gold to be able to take flight, it should find the closest unbalanced Demand Zone first: a demand zone in which the price can find all the liquidity (volume of orders) it needs to be able to bounce back up and reach the Monthly Supply Zone (Resistance). At the very least, we should see a liquidity spike coming down around the $1820 level.