Gold Moves Sideways During Lunar New Year Holiday, Markets Await Something on Tuesday
Spot gold traded around $5,016/oz in the Asian session, slightly lower as the market locked in profits after more benign US inflation data briefly boosted risk appetite and kept gold above $5,000. January's CPI rose 0.2%, and annual inflation fell to around 2.4%, keeping the narrative of a Fed rate cut this year alive but also triggering profit-taking after a strong rally.
From a fundamental perspective, gold's short-term direction remains supported by expectations of lower borrowing costs (positive for non-yielding assets), but the market remains sensitive as Fed officials believe inflation has not yet truly returned to the 2% target. As long as the dollar remains stable and yields do not fall sharply, gold has the potential to consolidate in the psychological $5,000 area while awaiting further catalysts from US data and the next Fed signal.
The gold price at the time of this analysis is $5,016
- Buy if the price moves below $5,041
- Sell if the price moves below $4,999
Resistance 2: $5,109
Resistance 1: $5,067
Support 1: $4,983
Support 2: $4,941
Disclaimer
This article is analytical in nature and is not a definitive reference. Please consider the influence of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id
