3 Fed officials released many comments, GOLD has a narrow range

17 mai

XAUUSD after a correction on Thursday, it remained within a short-term uptrend and the market was affected by some comments from Fed officials.

Three senior Fed officials said the central bank should keep interest rates high longer as policymakers await more evidence of slowing inflation, suggesting officials are in no rush to cut interest rates.
Hawkish comments from Federal Reserve officials have supported the dollar and put pressure on gold prices, limiting the upside potential for gold prices.

Cleveland Fed President Loretta Mester, New York Fed President John Williams and Richmond Fed President Thomas Barkin all said Thursday that inflation could take longer to reach the 2% target.
• Mester said Thursday at an event in Wooster, Ohio: “Incoming economic information suggests that it will take longer to reach the inflation target, we have many limitations and need to maintain longer policy,” said Mester, who has the right to cast a deciding vote this year.
• Williams, the Fed's "No. 3 voice," made similar comments in an interview with Reuters published on Thursday, saying he saw no reason to adjust monetary policy bad right now.
“I don't expect to see the greater confidence we need to see in the short term that inflation is moving towards the 2% target,” Williams said.
• Barkin told CNBC on Thursday that demand will need to cool further for inflation to reach the Fed's target. He noted that commodity inflation has dropped significantly as supply chains have been repaired.
“To get to 2% sustainably in the right way, I think it's going to take a while,” said Barkin, who also has a vote on policymaking this year.
• Federal Reserve Chairman Jerome Powell said Tuesday that officials will “need to be patient and let restrictive policies work.”

Fundamentally, gold is being constrained by comments from Fed officials yesterday, but looking ahead it is clear that the longer term path remains supportive as market sentiment Overall, it shows that the Fed will cut interest rates.
Once interest rates are cut, gold prices will continue to increase because gold prices priced in Dollars will become more attractive when the US Dollar weakens.

Analysis of technical prospects for XAUUSD
On the daily chart, gold is trading in a fairly narrow range after yesterday's short correction.
However, the main short-term trend is still maintained as an uptrend with the price channel as the main trend. As long as gold remains above the 21-day moving average EMA21, it is still supported in the medium term.

Only when gold is sold off below EMA21 to return to operating within the price channel will a more negative situation be eligible to occur, meaning that open long positions should be protected behind EMA21.
On the other hand, at the present time gold is still expected to increase with a short-term target level at the original price of 2,400 USD and more than 2,417 USD.

During the day, the rising prospect of gold prices will be noticed by the following technical levels.
Support: 2,376 – 2,366USD
Resistance: 2,400 – 2,417USD

🪙SELL XAUUSD | 2411 - 2409

⚰️SL: 2415

⬆️TP1: 2404
⬆️TP2: 2399

🪙BUY XAUUSD | 2356 - 2358

⚰️SL: 2352

⬆️TP1: 2363
⬆️TP2: 2368

20 mai

Note

Gold prices climbed to a record peak, stabilizing around 2,437 USD/oz amid increasing geopolitical tensions

XAU/USD accelerated on Monday. Gold prices hit a record peak of nearly $2,441 during the Asian session amid growing expectations of interest rate cuts from the Fed and rising geopolitical tensions in the Middle East. Meanwhile, escalating tensions between Russia and Ukraine also fueled demand for safe-haven assets, with both countries carrying out attacks over the weekend.

21 mai

Note

21 mai

Note

Yesterday was a fairly calm day for the USD as yields gradually recovered after the CPI report and although the market did not seem too worried, Fed officials were not. Algorithmic hedge funds continue to short USD but real money funds have started buying again.

22 mai

Note

Despite a slight downward trend during the day, gold prices generally maintained a positive picture. On the 4-hour chart, XAU/USD has formed a rising price channel since early May. Technically, the precious metal still maintains a positive outlook as it holds above the 100-period EMA.

23 mai

Note

Gold prices plunged in trading on Wednesday, penetrating below the $2,400 support level, as traders appeared to take profits ahead of the release of the minutes from the Fed's most recent meeting. Data from the US shows the housing market continues to be weak.

23 mai

Note

🔹Goldman Sachs: Saudi Arabia aims to spend $3.3 trillion on investments

Goldman Sachs Bank confirmed in a research note issued yesterday, Wednesday, that Saudi Arabia is working to increase local investments, with the aim of increasing the share of non-oil GDP in the total domestic product to 65% within 6 years, from about 45% currently.

23 mai

Note

The positive preliminary PMI data knocked investors' confidence that the Fed will begin cutting interest rates from its September meeting. The CME FedWatch tool shows that investors predict a 53% chance of the Fed lowered interest rates in September, down from the previous 58% after the preliminary PMI report was released.