Gold Prices Correct Amid Strengthening US Dollar
Gold prices weakened on Thursday (September 11th) after hitting a new record earlier this week. Selling pressure emerged as the US dollar strengthened and bond yields rose, reducing the precious metal's appeal as a hedge. Investors tended to take profits ahead of the release of US consumer inflation data, which could determine the direction of the Fed's interest rate policy.
Despite the correction, the medium-term outlook for gold remains relatively positive, especially if the US central bank signals a more aggressive interest rate cut at its upcoming meeting. Global geopolitical uncertainty also remains a supporting factor for gold's demand as a safe-haven asset. However, in the short term, precious metal prices could face higher volatility following the dynamics of the foreign exchange and bond markets.
The gold price at the time of writing was $3,620/Toz.
- Buy if the price moves within the $3,627 range
- Sell if the price moves within the $3,613 range
Resistance 2: $3,641
Resistance 1: $3,634
Support 1: $3,606
Support 2: $3,599
DISCLAIMER
Note: This article is for analytical purposes only and is not a definitive reference. Consider fundamental and technical developments in trading before making any investment decisions.
Source: Newsmaker.id
