Abstract:Gold markets initially tried to rally during the trading session on Tuesday but gave back gains as we continue to see plenty of resistance near the $1880 level.
FOMC meeting minutes tonight could cause the price of Gold to fall. Will the price reach $1800.00?
Gold markets initially tried to rally during the trading session on Tuesday but gave back gains as we continue to see plenty of resistance near the $1880 level. This has been an area of interest on the way out, so now that we have broken down through it, it should more likely than not have quite a bit of market memory, as we have seen recently.
GOLD
The price of Gold could fall tonight as investors await the FOMC meeting minutes. Recent USD data has been good for the economy but bad for inflation targets. The Fed has been vocal with their growing concerns of strong data and could begin to hike for longer. The employment data out of the US came in higher than expected above 500k in January. This shocked the Federal Reserve Chairman himself and would have put him on high alert. USD has strengthened with all this strong data to the inflationary pressures.
A strong USD and a higher US interest rate would be negative for the price of Gold and could bring the price into the key support of $1800.00. Price has recently rejected the key resistance of $1960.00 and has been trading lower. This can be seen on lower time frames as the retracement phases have been small in comparison to the impulsive phases.
The price on the chart has traded through multiple technical levels and some observations included:
• Price has fallen on news of potential rate hikes in the US.
• This combined with the USD strength meant sellers would re-enter on any rallies.
• Currently the price is trading between a range of $1845.00 and $1818.00.
• A break of the range lows would see price head for the major targets of $1800.00.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.
Interactive Brokers expands its offerings in Japan, adding leveraged CFDs for US stocks and ETFs, enhancing trading strategies for its clients.
Recently, the Cyprus Securities and Exchange Commission (CySEC) issued statements regarding the suspension and revocation of licenses for three investment firms in accordance with The Investment Services and Activities and Regulated Markets Law.
MetroTrade LLC's recent registration with the CFTC as an introducing broker and its NFA membership signify a significant development, as the company prepares for a summer launch to offer traders access to the CME Group's U.S. futures exchanges.
Amidst a distressing account involving Nguyen Truong and the FXM brokerage platform, his inability to withdraw $12,400 underscores the risks of online trading. Truong's encounter serves as a cautionary tale, emphasizing the need for diligence in broker selection.