XAUUSD: PMI and next developments
Updated
Technical analysis:
After the release of Non-Farm data, the price line experienced a sharp decline, resulting in a trend reversal breakout. The Relative Strength Index (RSI) indicates an oversold market in the hourly (H1) timeframe. Moreover, the two Exponential Moving Averages (EMAs) 34 and 89 have reversed and intersected, forming a downtrend.
market outlook:
During Monday's Asian session, the US Dollar maintained its recent recovery gains and was expected to continue Friday's upturn. The Nonfarm Payrolls report revealed that the US added 339K jobs in May, exceeding the expected 190K, and the previous number of 294K was revised upwards. However, the wage inflation component in the jobs report softened to 4.3%, and the Unemployment Rate in the US ticked higher to 3.7% compared to the expected 3.5%. As a result, Gold prices fell by almost $30, and the US Treasury bond yields across the curve experienced a sharp recovery. Despite the mixed US employment data, the markets are still pricing a 75% probability that the US Federal Reserve will pause at the June 13-14 policy meeting, leading to a risk-on market profile and a decrease in demand for US government bonds.
The price of gold tends to decrease when the economy is doing well, while it rises during times of war. As we are currently in a delicate economic climate, there may be sudden and significant fluctuations in the market. It is crucial to exercise caution and protect your investments by always setting a stop loss when trading.
After the release of Non-Farm data, the price line experienced a sharp decline, resulting in a trend reversal breakout. The Relative Strength Index (RSI) indicates an oversold market in the hourly (H1) timeframe. Moreover, the two Exponential Moving Averages (EMAs) 34 and 89 have reversed and intersected, forming a downtrend.
market outlook:
During Monday's Asian session, the US Dollar maintained its recent recovery gains and was expected to continue Friday's upturn. The Nonfarm Payrolls report revealed that the US added 339K jobs in May, exceeding the expected 190K, and the previous number of 294K was revised upwards. However, the wage inflation component in the jobs report softened to 4.3%, and the Unemployment Rate in the US ticked higher to 3.7% compared to the expected 3.5%. As a result, Gold prices fell by almost $30, and the US Treasury bond yields across the curve experienced a sharp recovery. Despite the mixed US employment data, the markets are still pricing a 75% probability that the US Federal Reserve will pause at the June 13-14 policy meeting, leading to a risk-on market profile and a decrease in demand for US government bonds.
The price of gold tends to decrease when the economy is doing well, while it rises during times of war. As we are currently in a delicate economic climate, there may be sudden and significant fluctuations in the market. It is crucial to exercise caution and protect your investments by always setting a stop loss when trading.
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➡The Biden Administration's radical move to ban gas stoves is fundamentally anti-American.House Republicans will always stand for freedom and American values.
Note
Alexander Novak: Balance between supply and demand in the oil market thanks to the decisions of “OPEC +”Russian Deputy Prime Minister and Energy Minister Alexander Novak said that the Organization of Petroleum Producing Countries and its allies “OPEC +” agreed to reduce its oil production during the year 2024 by 1.66 million barrels per day.
Following the announcement of a new agreement by the Organization of Petroleum Producing Countries “OPEC +” regarding the level of global production during the year 2024, Novak indicated that today’s agreement in addition to OPEC’s decision in October 2022 means a total reduction in global oil production of 3.66 million barrels per day by the beginning of the year. Next year.
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PMORGAN FX Strategies: Based on various measures, overall dollar usage remains within the historical range, with the greenback at the top of the pack.Trade active
MORGAN STANLEY EUROPEAN MID-YEAR FORECAST: We expect a 10% correction over the summer months as growth slows and liquidity drops.
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