Gold Corrects, Focus Shifts to the Fed
Gold weakened on Monday (February 16th), dragged down by profit-taking and thin trading conditions due to holidays in several major markets. At the same time, a stronger US dollar also weighed on the market, making USD-denominated gold more expensive for non-dollar buyers.
From a fundamental perspective, the market is also "reassessing" the direction of the Fed's interest rate policy after a combination of US economic data mixed with inflation cooled. However, the employment rate remained solid enough to contain gold's upside without a new catalyst. As a result, gold tended to experience a mild correction while awaiting the next trigger.
The gold price at the time of this analysis is $5,010
- Buy if the price moves below $5,015
- Sell if the price moves below $5,007
Resistance 2: $5,028
Resistance 1: $5,0020
Support 1: $5,004
Support 2: $4,996
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
