📈 GOLD → Favorable fundamental background. Will we go to 2450?
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GOLD updates high to 2424 amid favorable news. Buyers are returning with the belief that the dollar will continue to fall on the back of the imminent interest rate cuts
CPI indicates significant easing of inflationary pressures in June. Annual inflation fell to 3%, the lowest rate in a year. This report provides evidence to the Fed that inflation is easing, but most likely it is not enough for them and they will need 1-2 reports confirming the fact that inflation is under control and a move into deflation is forming.
Ahead of PPI and traders are focusing on this report as favorable data could reinforce fresh selling in the US Dollar. This, in turn, could trigger a rise in gold prices. But, it is worth considering the unpredictability of the news in your trading.
Resistance levels: 2411, 2416, 2424
Support levels: 2396, 2392, 2385
Technically, a small correction is possible after a false breakdown of resistance, which in general may lead to testing the imbalance zone before the next growth, if the fundamental background after PPI is maintained or intensified....