The price of Gold rallied overnight on continued signals that the Fed will lower interest rates. Latest Trump tweet on Fed rates added more fuel to the bulls, push the price to 1420$.
Trump “I am pleased to announce that it is my intention to nominate Judy Shelton, Ph. D., U.S. Executive Dir, European Bank of Reconstruction & Development to be on the board of the Federal Reserve….”
This morning, Gold prices halted their gains after rising nearly a percent to over 1435$. However, it failed to gain a footing above June high 1439.50$. The indicators give a mixed outlook as the stochastics set for a sell signal, but the RSI is recovering.
Support at the 14MA has held firm in the last two days keeping momentum in favor of the upside; however, a move above 1440$ needed to pus the bar higher to our first target 1450$.
On the downside, a break below the 1380-1377$ may trigger losses towards 1350$ levels.
Besides USD was little changed overnight, facing strong resistance at 200MA. In bond land, 10y USDT yield closed at 1.98.
By the end of trading session, last night, the Aussie dollar visited 0.7000 on RBA slashes cash rate for the second month in a row, the first time since 2012.
Looking at the day ahead, it’s a reasonably busy day for data highlighted by PMI releases for ..E.A. and .U.K. Besides, in ..U.S. we will see ADP June number and ISM Non-Manufacturing PMI.
It is important to always keep in mind the risks involved in trading with leveraged instruments.
Have a question? Let us help!
A KTM Analyst is ready to assist you, click on the comment section below