Andrew-Trading

Andrew-Trading

Gold prices have been aiming cautiously lower in recent days, extending the broader decline since May. Guiding the yellow metal lower has been a falling trendline from May. Recently, XAU/USD rejected the former rising support line from November as it intersected with the descending trendline, opening the door to a downward resumption. Now, the yellow metal is...

Andrew-Trading

World gold prices fell slightly yesterday as data showed US consumer prices rising rapidly, with expectations that the inflation index may not prompt a major change in the Fed's interest rate strategy. Department of Labor data showed that headline and core CPI in August increased 0.6% and 0.3%, respectively, from the previous month. Economists expected increases...

Andrew-Trading

Gold prices remain under pressure this Thursday after yesterday’s US CPI report showed elevated headline inflation despite a softer core inflation read. This translates through to sustained tight monetary policy by the Federal Reserve. Energy was the primary contributor to the higher headline figure and with crude oil prices expected to remain buoyant, the ‘higher...

Andrew-Trading

The gold price dipped going into Wednesday’s trading session with the US Dollar consolidating after Monday’s rout and ahead of US CPI later today. Undermining the precious metal is the continual climb of US real yields. When we step back and look at the bigger picture, the ascent of real yields might appear to be one-way traffic for now. If today’s US CPI figure...

Andrew-Trading

World gold price stood at 1,922 USD/ounce, a slight increase of 3 USD/ounce compared to last week's closing session. Precious metal prices have just experienced a week of decline of more than 1% due to the lack of economic data and events to stimulate the market. The most important economic data for gold traders this week is the US consumer price index and...

Andrew-Trading

Gold prices are trading almost unchanged and silver prices are weaker in quieter US midday trading on Thursday. Traders are waiting for the next big US economic data to guide prices, possibly next week's August Consumer Price Index report, due out on Wednesday, September 13. The gold market is in a technical bearish state in the short term, which makes the...

Andrew-Trading

Gold prices fell for a fifth session in a row as rising yields and US interest rates could stay high for a longer time along with concerns about slowing economic growth on a global scale continue to drive cash flows. seek refuge in "greenbacks". The dollar hovered near 6-month highs, while 10-year US Treasury yields hovered near 15-year highs. The strength of the...

Andrew-Trading

September is almost over at this point, referring to the Fed's upcoming monetary policy meeting on September 19-20, when markets mostly expect interest rates to remain unchanged. Data since the most recent policy meeting have added to the impression that the US economy is cooling without cracking, strengthening the argument against further interest rate hikes and...

Andrew-Trading

Gold prices recorded a decline after a series of consecutive days of gains, but maintained their weekly growth, while the unemployment rate in the US continued to increase, putting pressure on the possibility that the FED will pause the job. interest rate increase. US gold futures prices, trading for December, also recorded an increase of 0.1%, reaching...

Andrew-Trading

Gold prices increased because the USD reversed sharply at the beginning of this morning's session. The Dolla-Index – which measures the strength of the USD in a basket of 6 major currencies, plummeted by nearly 0.4% compared to the previous session, to 103.220. The dollar depreciated, helping to lower gold deposit and transaction costs, so investors boosted...

Andrew-Trading

Employment gains above 200,000 and hot wages will reinforce upside inflation risks, increasing the probability of one or two additional quarter-point hikes in 2023 and higher rates for longer. This scenario should be a tailwind for the U.S. dollar and Treasury yields, but would put downward pressure on gold prices and other rate-sensitive assets. Should the...

Andrew-Trading

The British Pound continues to be overshadowed by a brewing bearish Head & Shoulders chart formation against the US Dollar. On the daily chart below, GBP/USD can be seen struggling to clear the neckline around 1.2592. Furthermore, prices are struggling to find follow-through after breaking under the 100-day Moving Average (MA). Confirming a drop through 1.2592...

Andrew-Trading

The rally since the beginning of last week fits into the Fibonacci retracement pattern, having lost upward momentum as it approached the 61.8% level of the initial decline. Confidence in gold's further decline will be boosted by a quick return below the 200-day average, now above $1910. The final confirmation of this pattern would be a return to August's local...

Andrew-Trading

On the daily chart below, gold has extended a cautious push higher above the 38.2% Fibonacci retracement level of 1903.46. That is now placing the focus on the falling trendline from earlier this year. The latter could reinstate the broader downside focus, pushing XAU/USD back to the mid-August swing low of 1884.89. Otherwise, clearing above the falling...

Andrew-Trading Updated 

Kitco News' latest weekly gold survey shows Wall Street analysts are bearish in the near-term, while retail investor sentiment is mostly in balance. Rising US bond yields, hitting new 15-year highs on Thursday, remain a significant headwind for gold, according to analysts. They note that gold's rising opportunity cost is also preventing the precious metal from...

Andrew-Trading Updated 

The world gold market was under pressure due to the increase in US Treasury bond yields and the USD index. Yields on 10-year US Treasuries hit their highest level in 15 years. The USD index recorded a 9-week high, closing the session at 103 points. Bond yields rose ahead of the possibility that the US Federal Reserve (Fed) would maintain the current high interest...

Andrew-Trading Updated 

Technically, spot gold needs to break above resistance at the 200-day moving average - around $1,910 an ounce - for a more pronounced recovery. Discussions will likely focus on whether the central bank should maintain in the long term the level of equilibrium interest rates higher than they were a decade ago. If the long-term equilibrium interest rate scenario is...

Andrew-Trading Updated 

The Fed won't be able to keep interest rates as high as they are now when the US economy begins to slow. The Fed will have to cut rates even if inflation remains high, which could support gold prices. Although gold has had strong selling pressure in the past 4 weeks, Schneider believes the market continues to show persistent strength. Despite selling pressure,...