XAUUSD - Stronger USD causes Gold to go down
World gold price fell slightly with spot gold down 8.7 USD to 1,954.4 USD/ounce. Gold futures were last traded at $1,957.3 per ounce, down $4.9 from the previous day's dawn.
The rally of the US Dollar Index in the first session of the week put pressure on the precious metal priced in USD. Earlier this morning, the US Dollar Index rose 0.31% to 101.38 points, taking away the attractiveness of gold for buyers holding foreign currencies.
New economic data is also negative for gold. Specifically, the Manufacturing Purchasing Managers' Index remained in contractionary territory but rose more than expected to 49.3 after reaching 46 in June. Economists forecast steady activity with a rise of 46.1. The report also said activity in the manufacturing sector rose to a three-month high. Meanwhile, activity in the service sector fell to a five-month low.
This mixed economic data is unlikely to bring any upside to gold, but the precious metal has proven resilient as it holds support above $1,950 an ounce.
The rally of the US Dollar Index in the first session of the week put pressure on the precious metal priced in USD. Earlier this morning, the US Dollar Index rose 0.31% to 101.38 points, taking away the attractiveness of gold for buyers holding foreign currencies.
New economic data is also negative for gold. Specifically, the Manufacturing Purchasing Managers' Index remained in contractionary territory but rose more than expected to 49.3 after reaching 46 in June. Economists forecast steady activity with a rise of 46.1. The report also said activity in the manufacturing sector rose to a three-month high. Meanwhile, activity in the service sector fell to a five-month low.
This mixed economic data is unlikely to bring any upside to gold, but the precious metal has proven resilient as it holds support above $1,950 an ounce.
Comment:
Currently, the market is optimistic that the Fed is about to complete its tightening cycle. However, gold can be risky as the Fed Chairman is trying to bring up the possibility of at least two more rate hikes this year.
Comment:
Running +20Pips ✅
Comment:
Head to TP 1945, then we can buy it back
Comment:
Running +40Pips ✅
Comment:
HIT TP2 +100Pips ✅
✅ TP1: 1958
✅ TP2: 1952
✅ TP3: 1945
🛑 SL: 1972