Gold Retests the Triple Top Level; A Breakout Will Drive the Buying Trend

The [[gold]] price oscillated about $1,825 early Monday, virtually unchanged, as holidays

Skerdian Meta•Monday, January 2, 2023•1 min read

The GOLD price oscillated about $1,825 early Monday, virtually unchanged, as holidays in some markets limited the metal’s immediate movements despite the US Dollar’s rise. The recent inaction of the quote could also be attributed to mixed US data and recent challenges to market sentiment, as well as the cautious mindset ahead of this week’s top-tier data/events.

It should be emphasized that most recent US data, including inflation and activity measures, have been dismal and highlight the worries surrounding price pressure in the world’s largest economy. Previously, the Fed was compelled to raise interest rates, precipitating recessionary concerns. As a result, softer statistics impact bullish Fed expectations and call into question US Dollar buyers.

Elsewhere, concerns about China’s economic recovery due to the COVID epidemic join concerns expressed by International Monetary Fund (IMF) Managing Director Kristalina Georgieva about Beijing disputing the gold price.

It is worth noting, however, that the IMF’s Georgieva looks upbeat about US growth prospects, putting a floor beneath the US dollar’s recent swings. Looking ahead, the minutes from the most recent Federal Open Market Committee (FOMC) meeting and the US employment figures for December will be critical for GOLD traders to monitor.

Gold Technical Outlook

GOLD price was unable to consolidate below the $1,800 barriers to trade positively and attempt to rebound while receiving positive indications from stochastic and the EMA50, which leads us to advise a bullish bias for today, with a target of $1,850 as the next key target.

As a result, a positive trend is projected in the following sessions, with a break of $1,802 signaling the end of the suggested climb and forcing the price to fall directly to $1,776.25.

Today’s trading range is likely between $1,795 support and $1,830 resistance.

Today’s projected trend: bullish

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Skerdian Meta

Lead Analyst

Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.