Will Gold Prices Continue to be Pressured?
Gold prices were trading around $3,320 an ounce on Friday afternoon, pressured by stronger-than-expected US economic data. A drop in jobless claims and a surge in durable goods orders fueled concerns that the Federal Reserve might delay an interest rate cut. This reduced the appeal of gold, which tends to strengthen when the prospect of interest rates falls.
Despite the increasing fundamental pressures, geopolitical and political uncertainty in the US still supports demand for gold as a hedge. The market focus is now on the PCE inflation data to be released tonight. Technically, gold is still holding above the important support of $3,300, but if this level breaks, the potential for further correction towards $3,280 is wide open.
Recommendations:
Buy if price breaks above $3,325
Sell if price breaks below $3,315
Resistance 2: $3,330
Resistance 1: $3,325
Support 1: $3,315
Support 2: $3,310
Note: This article is intended for analysis and not as a definitive reference. Always pay attention to fundamental and technical developments before making investment decisions.
Source: Newsmaker.id
