Gold Technical Analysis: Gold Price in Neutral Position

The rise of the US dollar stopped, taking the price of gold to $1,75 per ounce. This came after gold sold off, XAU/USD, which reached support at $1727 per ounce. The drop to $ , came after reports that US jobless claims rose to their highest level in three months last week amid a wave of layoffs at technology companies, a sign of apathy in a tight labor market. US initial jobless claims rose 17,000 to 2 0,000 in the week ended Nov. 19, , data from the Labor Department on Wednesday showed. The median estimate in a Bloomberg survey of economists was 225,000. Continuous claims, which include those who have already received at least a week of unemployment benefits, rose by 8,000 to 1.55 million in the week ended Nov. 12, the highest level since March. It was also the sixth consecutive weekly increase. Economists have closely watched the continuation of claims in recent weeks, having previously warned of signs of an economic downturn. Although the indicator has risen from the low point of May this year, it is still well below last year’s level and the historical average. This year, the Fed began its toughest campaign since the 1980s to try to tame the highest inflation in a generation. The sharp rise in US interest rates affected the housing and construction industries, for example, but the labor market generally remained strong. , The list of high-profile tech companies announcing job cuts or hiring freezes is growing, from Inc to Meta Inc. Facebook’s parent company HP Inc. A computer maker that announced this week that it will cut up to 6,000 jobs. Rising layoffs in the sector don’t necessarily indicate weakness in the U.S. labor market, as many tech companies have ramped up hiring during the pandemic-era e-commerce boom. However, other industries are not immune. Even FedEx Corp. He lays off his truck unit before what is typically the company’s busiest time. Advertisement Time to trade gold? Don’t let fear stop you from winning! Exchange Gold Now! Claims tend to be more volatile during US holidays. The most recent data covered the week between Veterans Day and Thanksgiving. Most Fed officials at their last meeting backed a US rate hike „imminent” — before raising the benchmark interest rate by three-quarters of a basis point for the fourth time in a row. And US Federal Reserve policymakers saw „very few signs of easing inflationary pressures”. However, a „vast majority” of officials viewed a short-term rate hike as „probably appropriate in the near term,” according to the November minutes. The 1-2 match was released on Wednesday. The central bank is widely expected to raise its short-term benchmark interest rate, which affects many consumer and corporate bonds, by half a percentage point at its mid-December meeting. XAU/USD Gold Price Forecast Today: After recent selling operations and the decline of the US dollar, the gold price XAU/USD had a chance to recover. The bulls could not control the direction without moving to the resistance levels of $1762 and $1775. On the other hand, a break of the $1,726 support, as happened recently, supports the strength of the bearish correction. The price is now neutral and awaits factors from both sides. I still prefer to sell gold above any level. In the middle of the US holidays, market liquidity decreases and the market moves according to investor sentiment.

James Rogers

Learn More →

Dodaj komentarz

Twój adres e-mail nie zostanie opublikowany.