Gold retests 4-weeks Support at $1836

The precious metal gold has witnessed a massive fall during the Asian session today; that sent gold prices so low to the four weeks support last seen on May 10, 2022. After pushing the price up to 1874, buyers were forced to take profits. The bulls quickly defended the last month’s support at $1836, moving the price from this region to the current position above 1840. The price is currently ranging as the market awaits the consumer price index report for the concluded month, determining the next significant move for gold this week. This report is due to be released on Friday.

Minor Factors that influenced gold prices from today’s economic calendar

Trade Balance

The trade balance shows the difference in value between the imported and exported goods and services at the end of each month. A positive number from this data indicates that more goods and services were shipped rather than dependent on imports. A lower negative value than forecasted will mean bullish for US Dollar and impact gold negatively. While a higher negative value than forecasted will favour gold and weaken US dollars. The forecast for this data is -89.6B. The previous record was given at -109.8 Billion.

Treasury Secretary Yellen Speech

The US treasury Secretary – Janet Yellen, is expected to speak on the Fiscal year 2023 budget before the Senate Finance Committee in Washington DC. Often, her speeches have been used to signal policy shifts to the public and foreign governments. Her tone this time will determine the direction to be followed by investors; whether to dump risky assets (including gold) and embrace the dollar or vice-versa.

Consumer Credit

This measures the change in the total value of outstanding consumer credit requiring instalment payments. The consumer credit calculations are directly used to measure consumers’ spending and confidence. Thus, a rising debt level is a sign that lenders are now fearless in giving loans. The consumers (borrowers) are also noticeably confident in their current financial position and eager to spend more money. The forecast for this data is 35.5B, while the previous is 52.4 billion. Higher readings from this data will mean positive and bullish for the US Dollar, negatively impacting gold.

Recent News
Start Trading Now !

Try our demo account for free to learn trading. When you’re ready, switch to a live account and start trading for real.

Popular posts
ATFX

Restrictions on Use

Products and Services on this website are not suitable for Hong Kong residents. Such information and materials should not be regarded as or constitute a distribution, an offer, solicitation to buy or sell any investments.

使用限制: 本網站的產品及服務不適合香港居民使用。網站內部的信息和素材不應被視為分銷,要約,買入或賣出任何投資產品。

ATFX

Restrictions on Use

Products and Services on this website are not suitable for the UK residents. Such information and materials should not be regarded as or constitute a distribution, an offer, or a solicitation to buy or sell any investments. Please visit https://atfxgm.eu/en/ to proceed.

ATFX

Restrictions on Use

AT Global Markets (UK) Limited does not offer trading services to retail clients.
If you are a professional client, please visit https://atfxconnect.com