Gold prices increased in India today, according to compiled data.
Gold prices in India went up on Tuesday. According to FXStreet, the price reached 13,747.04 INR per gram, up from 13,708.95 INR on Monday. The cost for Gold per tola increased to 160,342.80 INR from 159,898.50 INR the day before.
FXStreet calculates Gold prices in India by converting international prices into local INR. These rates are updated daily and may vary slightly from local prices.
Gold prices in Malaysia have increased according to recent trend data.
Gold prices in Malaysia went up on Tuesday, based on FXStreet data. The price per gram increased to 610.45 Malaysian Ringgits (MYR) from MYR 608.73 on Monday.
The price per tola also rose to MYR 7,120.10, up from MYR 7,100.12 the previous day. FXStreet determines these prices by applying international rates to local currency and units, offering daily updates.
Gold As A Secure Asset
Gold is often viewed as a safe investment, especially during uncertain times. It helps protect against inflation and decreases in currency value. Central banks are significant holders of gold, buying 1,136 tonnes worth about $70 billion in 2022, the highest annual purchase ever. Gold prices tend to move in the opposite direction of the US Dollar and riskier assets. Various factors influence gold prices, including geopolitical events and interest rates. Typically, gold prices increase when the Dollar weakens. FXStreet emphasizes that this information is for reference only and should not be seen as investment advice. Prices can vary locally, so readers should research thoroughly before making financial choices. Investing involves risks, including the possibility of losing the principal amount. The recent US diplomatic actions concerning Greenland have created significant uncertainty in the markets, a factor not accounted for in our 2026 projections. We are witnessing a typical flight to safety, with gold prices reaching new records above $4,700 an ounce. This reflects a major adjustment in geopolitical risk, more than doubling prices compared to 2024 levels.Market Reactions And Strategies
This situation is intensified by the ongoing weakness of the US Dollar, which has been declining since late 2025. At the same time, central banks continue their aggressive buying, building on the record 1,136 tonnes purchased in 2022 and further accelerating into 2025. The latest data from the World Gold Council indicates this trend is ongoing, providing strong support for gold prices. For traders, this means that implied volatility on gold options has surged, with the CBOE Gold Volatility Index (GVZ) hitting multi-year highs. This spike makes long-term call options more expensive, mirroring the market’s anxiety and enthusiasm. Elevated volatility creates opportunities for those who can accurately predict short-term movements. Given the high costs, we should think about using call spreads to make bullish bets more affordable and limit our risk. It may be wise to focus on strikes around the $5,000 psychological level for February and March contracts. We must also keep an eye out for any signs of diplomatic easing, as an unexpected change could lead to a rapid drop in prices and diminish option premiums. Create your live VT Markets account and start trading now.Japanese yen stays strong against the US dollar amid political uncertainty, approaching a weekly peak
The Japanese Yen (JPY) is struggling to find strength as mixed signals emerge. Traders are closely watching the Bank of Japan’s (BoJ) next policy meeting for clues about future interest rate hikes. Concerns about domestic politics and possible interventions to support the Yen also add to the cautious atmosphere.
Japan’s Finance Minister has suggested that market interventions might occur, possibly in collaboration with the US, to help the Yen. Recently, the Yen’s decline has pushed inflation above BoJ’s 2% target for four consecutive years, leading to speculation that interest rates might rise sooner than anticipated, potentially as soon as April.
Economic And Political Dynamics
Prime Minister Sanae Takaichi intends to dissolve parliament to gain a mandate in the upcoming snap election for advancing fiscal policies. A stronger majority for the ruling Liberal Democratic Party (LDP) could affect economic direction, impacting the stability of the JPY as global geopolitical tensions drive safe-haven demand. Technically, the USD/JPY pairing appears neutral, lacking sustained gains above important Fibonacci retracement levels. In the short term, the focus is on either breaking current resistance for bullish momentum or dropping below support levels for further declines as traders wait for signals from the BoJ after their meeting. The upcoming Bank of Japan meeting this Friday and the snap election on February 8th create considerable event risk. This suggests we should prepare for increased volatility in the USD/JPY pair. Therefore, considering options that benefit from a large price movement, regardless of the direction, could be a smart strategy in the coming weeks. We have seen an increasing pressure for a policy shift from the Bank of Japan. Last week, data revealed that Tokyo’s Core CPI for December 2025 was at 2.7%, marking the 20th consecutive month above the central bank’s target. Additionally, the final results from last year’s “shunto” wage negotiations showed an average pay increase of 4.1%, the highest in 30 years, which gives the BoJ more reason to consider another rate hike.Financial Strategies Amid Market Expectations
The recent warnings from the Ministry of Finance about intervention should be taken seriously, especially since the USD/JPY pair recently hit an 18-month low. Their market actions in late 2022, when they spent over ¥9 trillion to defend the Yen at similar levels, establish a potential ceiling for USD/JPY. Consequently, taking long positions above the 160 level could be very risky. However, betting on a stronger Yen is complicated by the recent strength of the US dollar. Over the past week, US 2-year Treasury yields have risen by 15 basis points due to speculation that the new Fed chair may postpone the interest rate cuts anticipated for 2026. Additionally, renewed tariff threats from President Trump are creating uncertainty that supports the dollar, limiting any significant appreciation of the Yen for now. Given these conflicting factors, we believe the most effective strategy is to trade the anticipated range breakout rather than predict the direction. Utilizing a long straddle or strangle with options is ideal, with strike prices focusing on the current trading range between 157.40 and 158.50. This approach allows us to benefit whether the BoJ’s announcement or the election results lead to a sharp move in either direction in the upcoming weeks. Create your live VT Markets account and start trading now.As US-EU tensions rise, the US Dollar Index falls below 99.00
The US Dollar Index is dropping, now around 98.90, due to rising tensions between the US and the EU. French President Emmanuel Macron has urged the EU to consider steps that could limit US market access after President Trump announced tariffs on several European countries.
US-EU Tensions and Monetary Policy
Increased tensions between the US and the EU are causing investors to be wary, which is affecting the value of the US Dollar. Despite strong job data in the US, expectations for Federal Reserve rate cuts have been pushed to June. Fed officials are waiting for consistent inflation data before making changes to policy. The US Dollar (USD) is the official currency of the United States and is widely used around the world, representing a major part of foreign exchange trading. After World War II, the USD became the world’s reserve currency, previously backed by gold. Monetary policy from the Federal Reserve influences the USD mainly through interest rate changes intended to control inflation and employment levels. They also use tools like quantitative easing and tightening to adjust economic conditions, which can impact the dollar’s value. Generally, quantitative easing weakens the USD, while tightening strengthens it. Currently, the US Dollar Index is under pressure, trading below 99.00. This decline is mainly due to worsening trade tensions with the EU. Traders are moving away from the dollar as fears of a tariff war grow. This situation feels similar to the trade disputes we had in 2018 and 2019, which caused significant market fluctuations. With more than $1.3 trillion in goods and services exchanged between the US and EU in 2025, the threat of the EU’s “trade bazooka” could greatly disrupt trade and further weaken the dollar. Given the volume of commerce at stake, the market is taking these threats seriously.Currency Volatility and Options Strategies
While strong labor data has pushed predictions of a Federal Reserve rate cut to June, it isn’t providing much support for the dollar at the moment. Current market pricing suggests there’s only a 20% chance of a rate cut before the second quarter. This indicates that the trade conflict is the main driver of currency movements right now. For traders, this suggests rising currency volatility in the upcoming weeks. The Cboe FX Volatility Index (EUVIX) has increased from a low of 6.2 last quarter to 8.5, reaching its highest level in three months. This indicates that sharp and unpredictable price movements are becoming more likely. In this environment, options strategies are especially useful for managing risk and speculating on market direction. Rising volatility means that option premiums are increasing. Traders might consider buying puts on the dollar or calls on the euro to prepare for further dollar weakness. These strategies allow for market exposure while capping potential losses. Create your live VT Markets account and start trading now.EUR/JPY pair stays around 184.15 while facing resistance above 185.00
The EUR/JPY currency pair stays steady around 184.15 early in the European session. Traders are watching for resistance at 185.00 and support at 183.85, with a positive RSI and strength above the 100-day EMA.
Recently, Japan’s government has focused on plans to dissolve parliament and hold elections, which may affect the Yen’s value. The Finance Minister has suggested potential market interventions to counter the Yen’s weakness. The 100-day EMA at 179.28 supports the overall uptrend, while an RSI of 55.75 indicates ongoing bullish momentum.
Role Of The Yen During Turmoil
During market uncertainty, the Yen often becomes a safe haven, attracting investors due to its stability. Political decisions and market interventions from Japan’s authorities greatly impact the Yen’s value. The Bank of Japan’s past currency interventions and policy choices are crucial in influencing how the Yen performs against other currencies. The Yen is also influenced by the difference between US and Japanese bond yields, shaped by the BoJ’s very loose monetary policies. Changes in risk sentiment and global monetary policies continue to drive the Yen’s strength and investor behavior. Right now, with trading around 184.15, the next few weeks will see tension between political uncertainty and central bank policies. The upcoming snap election on February 8 suggests potential Yen weakness in the short term. Traders should consider strategies that could benefit from a move towards the 185.00 resistance level before the election.Effect Of Sales Tax Suspension On The Yen
The proposal to suspend a sales tax is a key factor, raising worries about Japan’s financial health, especially with a high debt-to-GDP ratio expected to exceed 260% by the end of 2025. This situation supports a weaker Yen, making bullish positions on EUR/JPY appealing. Buying call options with a strike price at or above 185.00 may be a smart way to take advantage of this potential upward trend. However, we must keep in mind the possibility of intervention from Japanese authorities, as their actions in late 2022 to support the Yen are still fresh in our minds. The Bank of Japan has also been gradually stepping away from its ultra-loose policy since 2024, backed by core inflation that has remained above 2% for most of 2025. This fundamental change could unexpectedly strengthen the Yen, so it might be wise to buy put options below the 183.85 support level as a precaution against a sudden drop. Given the mixed market forces, increased volatility seems likely as we approach the election. For those uncertain about the direction, strategies that benefit from larger price movements, like a long straddle, may be suitable. This method allows traders to profit from significant price swings in either direction, which seems more likely than the current sideways trading. From a technical perspective, the price staying above the middle Bollinger Band at 183.85 maintains a positive outlook. A decisive close above 185.00 would confirm the uptrend continuation, while a drop below 183.85 would signal a potential shift in momentum. We should use these levels as crucial triggers for entering or adjusting derivative positions leading up to the February election. Create your live VT Markets account and start trading now.As the UK prepares to release labour market data, GBP/USD stays steady around 1.3430 amid general caution.
The ILO Unemployment Rate is expected to drop slightly to 5% from 5.1%. Average Earnings, including bonuses, are projected to decrease to 4.6% from 4.7%.
On Monday, GBP/USD rose slightly due to a weaker US Dollar, not because of strong performance from the Pound. Tensions flared when US President Donald Trump proposed buying Greenland, which met resistance from both the European Union and Greenland.
Trump Tariffs and European Response
In a controversial move, Trump threatened to impose a 10% tariff on exports to Europe starting February 1, with a potential increase to 25% by summer unless the EU agrees to cede a country to the US. This prompted immediate counter-threats from Europe, likely impacting several US industries. After Trump announced tariffs on eight European countries on social media, GBP/USD increased by 0.28% to 1.3414. The tariffs target countries like Denmark, the UK, and Germany, and could rise if no agreement is reached regarding Greenland. Reflecting on this time in 2025, we remember how geopolitical issues overshadowed economic data. The proposed tariffs over Greenland caused markets to adopt a risk-averse stance, even while we focused on UK labor statistics. With the pound trading near 1.3820, this serves as a reminder of how quickly market sentiment can change.Lessons from the Greenland Crisis
A major lesson from the 2025 Greenland crisis was the surge in implied volatility. In the coming weeks, the CBOE British Pound Volatility Index (BPVIX) is around a six-month low of 8.5, making options relatively cheap. This creates a chance to buy protection against unexpected events, like renewed trade tensions between the US and EU over agricultural imports. Traders holding long positions in the pound should think about buying puts expiring in February as a cost-effective hedge. For those unsure of market direction but anticipating a significant move, a long straddle could be a good strategy. This is especially important ahead of next week’s crucial Bank of England meeting, where recent data shows UK inflation stubbornly holding at 3.1%, creating significant policy uncertainty. While the market in 2025 expected an unemployment rate near 5%, today’s figures show a tighter labor market with a rate of 4.2%. However, this hasn’t strengthened the pound due to ongoing worries about sluggish Q4 2025 growth. Any weakness in the upcoming retail sales report could push GBP/USD down to lower support levels, supporting defensive option positions. Create your live VT Markets account and start trading now.Elliott Wave Theory predicts that the DAX Index will continue to rise.
The DAX Index saw a strong rise featuring three swings after reaching a low point on November 21, 2025, and it has now hit a new all-time high. According to Elliott Wave Theory, trends typically have five waves, not just three, which means we might still see bullish momentum.
The journey began from the November low, with wave 1 finishing at 24,474.62. This was followed by wave 2, which corrected and ended at 23,923.96. Wave 2 formed a zigzag pattern: wave ((a)) ended at 24,173.28, wave ((b)) at 24,318.30, and wave ((c)) at 23,927.96, marking the end of this correction.
Wave Progression
After wave 2, the index moved higher into wave 3. Here, wave ((i)) reached 24,356.11, while wave ((ii)) corrected to 24,203.37. A strong wave ((iii)) pushed prices up to 25,428.43. Wave ((iv)) then slightly adjusted to 25,338.30, and wave ((v)) peaked at 25,507.79, completing wave 3. Currently, we are in corrective wave 4, which began after the low on December 18, 2025. As long as the support level at 23,927.96 holds, this phase might stabilize and could develop into a three, seven, or eleven-swing pattern, paving the way for more upward movement. We are observing the DAX in a corrective phase following its strong rally to a new high of 25,507.79 last year. This pullback is seen as a temporary pause before the next significant rise. Recent economic data, like the January ZEW Economic Sentiment for Germany at a slightly improved 14.5, suggests the market is consolidating rather than reversing. The key level to watch in the coming days is 23,927.96, which was the low point in early December 2025. As long as the index stays above this critical support, the bullish trend remains intact. Therefore, this dip should be seen as a buying opportunity rather than a cause for concern.Strategies for Traders
For traders dealing in derivatives, this signals a strategy to prepare for the next upward movement. One option is to buy call options with strike prices above the recent peak, such as 25,600, with expiration dates in March or April 2026. This gives enough time for the current corrective wave to bottom out and for the expected fifth wave rally to start. Another strategy is to use options to bet on support holding firm. Selling out-of-the-money put credit spreads with a short strike below the key 23,927.96 level can be a good way to earn premium. This approach benefits from both an increase in the index and time decay, as long as the critical support remains unbroken. Historically, pullbacks of 3-5% are normal during strong bull markets like the one we experienced in the last quarter of 2025. The current decline fits within this expected range, suggesting that the main trend is still upward. Additionally, the European Central Bank holding rates steady provides a stable environment for stocks to continue their climb once this consolidation period ends. Create your live VT Markets account and start trading now.The US dollar weakens, causing the Australian dollar to rise in value
The Australian Dollar (AUD) grew stronger for the second day in a row as the US Dollar (USD) weakened due to rising tensions over Greenland. This shift helped the AUD/USD pair increase in value, influenced by the People’s Bank of China’s choice to keep its Loan Prime Rates steady. Concerns about US tariffs on European countries also put pressure on the USD and affected market feelings.
US Tariffs And Market Impact
President Trump’s decision to impose tariffs on eight European countries—partly due to their backlash against the US purchasing Greenland—added to market fluctuations. The European Union is ready to respond to these tariffs, which complicates the economic situation. In Australia, the TD-MI Inflation Gauge reported a 3.5% rise in December compared to the previous year. This suggests the Reserve Bank of Australia might think about raising interest rates. At the same time, the job market in the US is strong; jobless claims are down, even with high borrowing costs. In China, Industrial Production increased by 5.2% year-over-year, and GDP grew by 4.5% in Q4 2025, impacting the Australian Dollar due to trade ties. The AUD stayed above the nine-day Exponential Moving Average, signaling continued short-term gains against the USD. The AUD’s performance aligns with global economic signals, notably from key exports like Iron Ore and China’s economy. Currently, the growing frustration between the US and Greenland offers a clear trading opportunity. The USD is losing strength because of this geopolitical uncertainty, while the AUD is gaining ground due to solid domestic inflation figures. This suggests a likely increase in the AUD/USD pair in the near future. We should think about buying call options on the AUD/USD, targeting prices close to the current level, aiming for a rise towards the October 2024 high of 0.6766. This approach allows us to benefit from expected gains in the pair while limiting our risk to the premium we pay. This strategy is particularly useful as a sudden easing of US-EU tensions could reverse the trend sharply.Volatility And Option Strategies
The recent geopolitical tensions have pushed currency volatility measures higher, similar to the increase we observed in the VIX index during the market unrest of 2024. This situation makes defined-risk option strategies more appealing than standard futures positions. We expect that implied volatility will stay high as long as tariff threats linger. On a fundamental level, the Aussie dollar is also backed by strong commodity prices. Iron ore is currently priced above $135 per tonne, providing a stable base for the currency from previous cycles. With a 22% chance of a rate hike by the Reserve Bank of Australia (RBA) in February already factored in, there’s a strong argument for continued AUD strength. China’s recent economic data presents a mixed but supportive landscape for Australia. Stronger-than-expected industrial production and GDP results indicate solid demand for Australian exports. However, disappointing retail sales underline ongoing domestic consumption issues in China since the peak of the post-pandemic recovery in 2023. The main risk to this outlook is a swift diplomatic breakthrough between the US and the EU, which would lead to a sharp rebound in the USD. Therefore, anyone holding long positions in AUD/USD should set clear profit targets and manage their investments carefully. The key event to watch will be the tariff deadline on February 1st and any official comments leading up to it. Create your live VT Markets account and start trading now.GBP/USD remains stable around 1.3430 as traders anticipate UK employment data
GBP/USD stays steady around 1.3450 as traders remain cautious ahead of UK labor market data. The pair is trading near 1.3430 during Asian hours after some modest gains in the previous session.
The ILO Unemployment Rate is expected to drop to 5% from 5.1%, and Average Earnings Including Bonuses are likely to slow to 4.6%. Traders are also looking ahead to the UK Consumer Price Index and Retail Sales data for December.
US Tariff Tension
The US Dollar is facing uncertainty due to tensions over tariffs on eight European countries, set to begin on February 1. In retaliation, EU ambassadors are preparing countermeasures. Recent US labor market data has pushed back expectations for Federal Reserve rate cuts until June. Morgan Stanley analysts now anticipate rate cuts in June and September, delaying their earlier forecasts. The Pound Sterling, the world’s oldest currency, is the UK’s official currency. It is widely traded, with GBP/USD making up 11% of foreign exchange transactions. The Bank of England’s policy to maintain a 2% inflation rate greatly influences the currency’s value. Economic indicators like GDP, PMIs, and employment numbers can affect the Pound’s direction, along with the Trade Balance, which impacts demand and investment.Market Strategy Focus
As of January 20, 2026, GBP/USD is trading cautiously around 1.2750 while we await important UK inflation and labor data. This is similar to January 2025, when the pair was also holding steady before data releases, though at a higher level near 1.3450. For derivative traders, the main focus should be the possible policy divergence between the Bank of England and the US Federal Reserve. Looking back to early 2025, we expected the UK unemployment rate to fall to 5%. However, the latest data shows it holding steady at 4.2%. The real challenge now is high UK services inflation, which, according to late 2025 data, is at 4.5%. This complicates the Bank of England’s decisions. Options traders may want to consider straddles or strangles to prepare for potential volatility around the upcoming UK CPI release because a surprising figure could quickly change interest rate expectations. On the US dollar side, the market now sees a 60% chance of a Federal Reserve rate cut by June 2026. This contrasts with early 2025 when strong labor data kept pushing back rate cut expectations. The latest US Non-Farm Payroll report showed a modest gain of 175,000 jobs, indicating that the US economy might be cooling, which could put pressure on the dollar in the coming weeks. We should also remember the market fluctuations in January 2025 related to proposed US tariffs on European goods over the Greenland issue. That event caused a temporary spike in volatility but did not have a lasting effect, serving as a lesson. It underscores that while we should monitor geopolitical news, our main strategy should focus on economic fundamentals and central bank policies, which ultimately drive currency value. Create your live VT Markets account and start trading now.EUR/USD stays near 1.1640, showing little momentum while testing the nine-day EMA around 1.1650
The EUR/USD pair is close to its nine-day EMA level, trading around 1.1640. The 14-day Relative Strength Index (RSI) is at 44, indicating weaker momentum, with immediate resistance at the nine-day EMA of 1.1645.
After some modest gains in the previous session, the EUR/USD shows limited movement. The pair remains below both the nine-day and 50-day EMA, indicating a bearish trend. Short-term averages are below medium-term ones, suggesting continued downward pressure.
