Hello everyone, as we all know the market action discounts everything :)
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The gold has been showing great Bullish movement for the last weeks, where we say the price goes up from $1721 all the way to $1874, which is an 8.8 % increase from the start of November.
The market seems to be moving in a sideway direction until we hear from the Central banks if they are going to hike interest rates sooner than anticipated.
Possible Scenario for the market :
The market is trading at $1861. with a good possibility of turning bearish on account of what the Central banks decide soon, which could lead to a decrease in the market value that will reach the first support line located at 1850.518 today, and could reach 1829.948 Main support next week,
Most likely we will see this a correction wave where the market will bounce back up reaching the resistance located at $1868 or even the $1900 level by next week.
Do notice that Technical indicators are showing Bullish signs, so we might not even see the correction, and the market can jump to the $1868 or even further soon.
Technical Analysis show :
1) The market is above the 5 10 20 50 100 and 200 MA and EMA (Strong Bullish sign)
2) The RSI is at 64.82 showing great strength in the market, with no divergences found between the market and the indicator.
3) The ADX is at 24.006 indicating a trending market with a positive crossover between the DI+ and DI-.
Daily Support & Resistance points :
support Resistance
1) 1852 1) 1868
2) 1846 2) 1877
3) 1837 3) 1884
Weekly Support & Resistance points :
support Resistance
1) 1827 1) 1884
2) 1791 2) 1904
3) 1771 3) 1941
Fundamental point of view :
Gold is up on Friday morning, but it might be getting ready for a weekly decline as we wait for the central banks to hike interest rates.
As inflation continues to climb and the economic recovery from COVID-19 continues, the Federal Reserve of the United States is considering raising interest rates sooner which could lead to a negative reaction on the gold price, Inflation increased to its highest level in 30 years in October, according to data from the previous week.
Chicago Fed President Charles Evans, a dovish policymaker, said on Thursday that he is "open-minded" to changing monetary policy in 2022 if inflation remains high. Despite his forecasts to the contrary, Evans believes that an interest rate hike in 2022 may be warranted if high inflation persists.
Meanwhile, according to Thursday's figures, 268,000 initial unemployment claims were filed in the United States over the week. Despite being close to pre-COVID levels, the result was greater than the 260,000 figure predicted by Investing.com. A labor shortage continues to be an impediment to quicker employment growth.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
_________________________________Make sure to Like and Follow if you like the idea_________________________________
The gold has been showing great Bullish movement for the last weeks, where we say the price goes up from $1721 all the way to $1874, which is an 8.8 % increase from the start of November.
The market seems to be moving in a sideway direction until we hear from the Central banks if they are going to hike interest rates sooner than anticipated.
Possible Scenario for the market :
The market is trading at $1861. with a good possibility of turning bearish on account of what the Central banks decide soon, which could lead to a decrease in the market value that will reach the first support line located at 1850.518 today, and could reach 1829.948 Main support next week,
Most likely we will see this a correction wave where the market will bounce back up reaching the resistance located at $1868 or even the $1900 level by next week.
Do notice that Technical indicators are showing Bullish signs, so we might not even see the correction, and the market can jump to the $1868 or even further soon.
Technical Analysis show :
1) The market is above the 5 10 20 50 100 and 200 MA and EMA (Strong Bullish sign)
2) The RSI is at 64.82 showing great strength in the market, with no divergences found between the market and the indicator.
3) The ADX is at 24.006 indicating a trending market with a positive crossover between the DI+ and DI-.
Daily Support & Resistance points :
support Resistance
1) 1852 1) 1868
2) 1846 2) 1877
3) 1837 3) 1884
Weekly Support & Resistance points :
support Resistance
1) 1827 1) 1884
2) 1791 2) 1904
3) 1771 3) 1941
Fundamental point of view :
Gold is up on Friday morning, but it might be getting ready for a weekly decline as we wait for the central banks to hike interest rates.
As inflation continues to climb and the economic recovery from COVID-19 continues, the Federal Reserve of the United States is considering raising interest rates sooner which could lead to a negative reaction on the gold price, Inflation increased to its highest level in 30 years in October, according to data from the previous week.
Chicago Fed President Charles Evans, a dovish policymaker, said on Thursday that he is "open-minded" to changing monetary policy in 2022 if inflation remains high. Despite his forecasts to the contrary, Evans believes that an interest rate hike in 2022 may be warranted if high inflation persists.
Meanwhile, according to Thursday's figures, 268,000 initial unemployment claims were filed in the United States over the week. Despite being close to pre-COVID levels, the result was greater than the 260,000 figure predicted by Investing.com. A labor shortage continues to be an impediment to quicker employment growth.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.