Forecast for the price of gold: XAUUSD soars to a new 5-week high and reaches $1,700 with a weak US Dollar.

Investors are preparing for the US elections and October’s CPI as the gold price rises despite the paucity of US economic data.
US Treasury bond yields are down today, and the probability of a 50 basis point rate increase by the Fed is now greater than 50%.
Price analysis of gold: It is neutrally upward oriented and could hit $1,700 soon.
As the North American session gets underway, the price of gold is muted, continuing to gain due to a stronger US dollar as risk appetite grew in the US due to the midterm elections, while rising US Treasury yields are a hindrance for the precious metals sector. As a result, the XAUUSD is currently down 0.04% and trading at $1,694.60, just over the 50-day EMA.
As traders wait for the outcome of the US election, the gold price regains its lustre yet it swings.
As US shares swing at the New York open, sentiment is divided. Apart from the US midterm elections with the US House and Senate on the line, the absence of relevant economic data is making headlines. Additionally, investors will use the October US inflation data, which will be revealed on Thursday, as a gauge for what the Federal Reserve will do at its meeting in December.
In addition, 10-year T-bond yields are declining from weekly highs of 4.24% down to 4.161% for US Treasury yields, which are primarily Treasurys. The CME FedWatch Tool indicates that expectations for the December meeting of the Federal Reserve are still 52% in favour of a 50 bps rate hike.
The US Dollar Index, which measures the value of the dollar in relation to the G8 currencies, falls 0.44% to 109.74.
The US Redbook Index dropped 7.6% from its previous reading, according to a light US economic docket, while the US IBD/IPP Economic Optimism for November fell from 41.6 to 40.4.
Price analysis of gold (XAUUSD): technical perspective
The 100-day Exponential Moving Average (EMA), which is currently at $1,716.96, may be challenged when XAUUASD surprisingly increased in the final 5 minutes, posting a daily high of $1,698, just shy of exceeding the $1,700 mark. The 200-day EMA at $1,805 will become accessible if the XAUUSD clears the latter.
On the other hand, important support levels are located around the 50-day EMA at $1,672, before the $1,650 mark and the daily low of November 8 at $1,664.80.

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