Fundamental Analysis
Wall Street traded mixed as Federal Reserve Chairman Jerome Powell delivered remarks at the 66th NABE Annual Meeting. Powell ruled out a 50 basis point (bps) interest rate cut at any of the central bank’s remaining policy meetings. Powell said there would be two more 25-bps cuts by 2024 if the economy performs as expected.
The greenback, as measured by the US Dollar Index (DXY), rose 0.15% to 100.56, a drag on the non-yielding metal. A light economic calendar in the US saw the Chicago PMI improve for a third straight month but remain in recessionary territory.
Geopolitical tensions remained high after Israel attacked Hezbollah headquarters in Lebanon, killing the group’s leader in the attack. While this warrants further gains for gold, bullion has failed to gain traction, analysts say.
Meanwhile, China’s economy remains sluggish, which has prompted a government response. The People’s Bank of China (PBoC) is implementing additional economic stimulus measures, which has stimulated money flows into the country’s soaring stock market.
Technical Analysis
A short-term bearish channel is in place, as long as gold remains below the 2643 zone, the downtrend is likely to continue and extend to the 2600 round harbor. Watch for price reaction zones for BUY signals in the 2626-2615-2604 zone. In case of a trend break, the uptrend is limited by the immediate resistance zone 2656.
Trading signals
BUY GOLD zone 2626-2624 Stoploss 2625
BUY GOLD zone 2615-2613 Stoploss 2609
BUY GOLD zone 2604-2602 Stoploss 2599
SELL GOLD zone 2656-2658 Stoploss 2671
SELL GOLD zone 2643-2645 Stoploss 2649
Wall Street traded mixed as Federal Reserve Chairman Jerome Powell delivered remarks at the 66th NABE Annual Meeting. Powell ruled out a 50 basis point (bps) interest rate cut at any of the central bank’s remaining policy meetings. Powell said there would be two more 25-bps cuts by 2024 if the economy performs as expected.
The greenback, as measured by the US Dollar Index (DXY), rose 0.15% to 100.56, a drag on the non-yielding metal. A light economic calendar in the US saw the Chicago PMI improve for a third straight month but remain in recessionary territory.
Geopolitical tensions remained high after Israel attacked Hezbollah headquarters in Lebanon, killing the group’s leader in the attack. While this warrants further gains for gold, bullion has failed to gain traction, analysts say.
Meanwhile, China’s economy remains sluggish, which has prompted a government response. The People’s Bank of China (PBoC) is implementing additional economic stimulus measures, which has stimulated money flows into the country’s soaring stock market.
Technical Analysis
A short-term bearish channel is in place, as long as gold remains below the 2643 zone, the downtrend is likely to continue and extend to the 2600 round harbor. Watch for price reaction zones for BUY signals in the 2626-2615-2604 zone. In case of a trend break, the uptrend is limited by the immediate resistance zone 2656.
Trading signals
BUY GOLD zone 2626-2624 Stoploss 2625
BUY GOLD zone 2615-2613 Stoploss 2609
BUY GOLD zone 2604-2602 Stoploss 2599
SELL GOLD zone 2656-2658 Stoploss 2671
SELL GOLD zone 2643-2645 Stoploss 2649
Note
Gold is reacting at the price zone of 2643Note
Gold has broken the trendline and is approaching the important resistance zone of 2670
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The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
JOIN OUR FREE TELEGRAM GROUP t.me/+7rqP7ECMjpUxMzBl
MESSAGE US FOR VIP SIGNALS🏆 t.me/Leilani8597
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.