XAUUSD - Stuck in a Large Range with Downside Potential
Gold is trading within a large range between $2075/oz and $1670/oz.
I anticipate the price to drift down to the 1670 level in the coming weeks as the safe heaven asset is being overlooked in favour of the US dollar as the Fed continues to raise the key lending rate.
In addition, price rallied past the old Sept-2011 all time high at $1920/oz on the week of 27-Jul-2020 and 07-Mar-2022. The latter run higher did not pierce the July 2020 high of 2075 level and ended up closing lower signifying to me a distribution is occurring in gold.
I anticipate the price to drift down to the 1670 level in the coming weeks as the safe heaven asset is being overlooked in favour of the US dollar as the Fed continues to raise the key lending rate.
In addition, price rallied past the old Sept-2011 all time high at $1920/oz on the week of 27-Jul-2020 and 07-Mar-2022. The latter run higher did not pierce the July 2020 high of 2075 level and ended up closing lower signifying to me a distribution is occurring in gold.