18 July
Gold and silver news
Gold uncertain amid Fed doubts
The spot gold prices showed little change on Monday, as traders in the bullion market remained uncertain about whether the Federal Reserve would soon indicate an end to its tightening of monetary policy.
Investors also evaluated data from China, which revealed that the economy of the largest consumer of bullion grew at a sluggish pace in the second quarter.
Investors generally anticipate that the Fed will raise interest rates in the meeting scheduled for July 25-26, potentially halting further increases next year.
If the Fed does indicate that the July hike would be the peak for this cycle of rate hikes, it could reignite enthusiasm among gold investors to push the price back up to $2,000.
From a technical standpoint, prices have found support from the 50-day exponential moving average (EMA) on the daily chart and rebounded above the resistance level of 1954. The 9-day EMA is attempting to cross over above the 50-day EMA, which could trigger a significant rally in the bullion market. The slope of the relative strength index (RSI) is still positive and attempting to move above 60, indicating further positivity for the yellow metal.
For the day, if prices can sustain above 1954, we may witness levels around 1965 and 1974.
Please note that financial analysis and predictions are subject to market volatility and uncertainties, and it is always advisable to consult with a qualified financial professional for accurate and up-to-date information.
