GOLD stopped its decline and rebounded strongly again

Today's world gold price is listed on Kitco at 2,175 USD/ounce, up 17 USD/ounce compared to early yesterday morning. World gold prices rebounded due to the weakening of the USD as investors still hope that the US Federal Reserve (Fed) will cut interest rates in June despite high inflation in the US.

Meanwhile, escalating geopolitical tensions cause safe-haven demand for gold bars to remain. World gold prices rebounded due to the weakening of the USD as investors still hope that the US Federal Reserve (Fed) will cut interest rates in June despite high inflation in the US. Meanwhile, escalating geopolitical tensions cause safe-haven demand for gold bars to remain.

Currently, there will be 2 scenarios for bullish gold speculators. If the Fed cuts interest rates, gold will skyrocket. If the interest rate cut scenario does not take place, concerns about inflation could also push gold higher.

As of March 13, market indicators based on signals from the CME Fedwatch tool showed that there was a 64.7% chance that the Fed would lower interest rates at its meeting on June 12 with a cut of 25 to 50 points. percent, slightly lower than the 68.7% recorded on March 6.

The possibility that the Fed will keep interest rates unchanged at the March 21 meeting is up to 99%, while the possibility of not reducing interest rates at the May meeting is 89.6%.

In the second half of the year, the Fed is forecast to enter a cycle of interest rate cuts and precious metals will be strongly supported. Gold is forecast to reach 2,200-2,400 USD/ounce in 2024.

Gold prices stabilized on Monday after a weak performance last week. The prices rebounded from support at around $2,150 and could potentially face resistance at the trendline of $2,175. If this resistance is overcome, attention will shift to the all-time high of $2,195.

If bears regain control of the market, the first technical floor to watch for a pullback is $2,150. Bulls need to defend this zone to prevent further selling pressure. Failure to do so could lead to a drop towards $2,085, with potential losses shifting focus to $2,065.

16 hours ago
Comment:
Gold turned down to $2,157

After rising more than $10 to above $2,164, gold is now back down to $2,157.

Today's focus is on the Fed's monetary policy decision and Fed Chairman Powell's speech.

5 hours ago
Comment:
Gold prices rose after the Fed's decision and the decline in the US dollar and yields. The indication of three rate cuts this year is negatively affecting the dollar. To understand the Fed's monetary policy outlook, traders should closely follow Chairman Powell's press conference. However, today's reaction may change due to the upward revision of the long-term equilibrium rate.

（Source from: TV-Xayah_trading）