Gold continues to decline, but the bulls are still holding the 1939 support area. A global triangle is forming, which shows us the pressure from the bears.
The price continues to test 1939, but it cannot overcome the resistance, even when the fundamental data is released.
Today's releases are:
PPI (MoM) (May).
FOMC Economic Projections
FOMC Statement
Fed Interest Rate Decision
FOMC Press Conferenc
The overall numbers may be weak for the gold, as the rate is likely to stay the same, or may increase (the interest rate for that is low).
From the technical analysis point of view, we see a descending triangle, which might lead the price to break the support.
The moving averages act as resistance.
Strong support: 1939.
Strong resistance: 1965, 1984
I expect the gold to continue in the range for some time, but in the mid-term, the price is expected to decline after breaking the support of 1939. Also, the fundamental data can have a drastic influence on the situation, and a break-down of the triangle resistance will send the price to 1984.
The price continues to test 1939, but it cannot overcome the resistance, even when the fundamental data is released.
Today's releases are:
PPI (MoM) (May).
FOMC Economic Projections
FOMC Statement
Fed Interest Rate Decision
FOMC Press Conferenc
The overall numbers may be weak for the gold, as the rate is likely to stay the same, or may increase (the interest rate for that is low).
From the technical analysis point of view, we see a descending triangle, which might lead the price to break the support.
The moving averages act as resistance.
Strong support: 1939.
Strong resistance: 1965, 1984
I expect the gold to continue in the range for some time, but in the mid-term, the price is expected to decline after breaking the support of 1939. Also, the fundamental data can have a drastic influence on the situation, and a break-down of the triangle resistance will send the price to 1984.
