Gold prices moved sideways, rising slightly after news over the long weekend that President Trump had signed the U.S. government’s stimulus bill. The dollar increased slightly in conjunction with yields, as riskier assets increased. The House passed a new bill that would increase stimulus checks from $ 600 to $ 2,000 per person.
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Technical analysis
Gold prices have risen, but continue to be traded in a narrow range. Support is close to the 10-day moving average near 1.872, with resistance seen near December highs at 1,906. The 10-day moving average crossed above the 50-day moving average, which means that a medium-term upward trend is now in effect. Short-term momentum has turned positive, as fast stochastic has generated a crossover buy signal. The medium-term momentum is positive to neutral, as the MACD histogram (moving average convergence divergence) is printed in black with a flattening path, which points to consolidation.
The Chamber votes to increase federal payments
The House voted to increase the second round of federal direct payments to $ 2,000 as Democrats adopt President Donald Trump’s calls to put more money in Americans’ pockets. The move would increase stimulus checks in the government financing and coronavirus relief package at the end of the year to $ 2,000 from $ 600.