International gold prices remained subdued on Wednesday (October 9) as investors prepared for the minutes of the Federal Reserve’s latest policy meeting, hoping to get clues on the path of United States interest rates.
Gold prices fell during the United States trading session yesterday, and although there was no obvious catalyst, real yields rose after the release of the United States non-farm payrolls report, which weighed on the gold market.
After some resistance, gold prices eventually fell on the rise in real yields, hitting a two-week low.
The U.S. dollar index rose sharply last week, hitting a seven-week high. A stronger dollar would make gold less attractive in other currencies.
The minutes of the Fed’s September policy meeting will be released at 02:00 a.m. Hong Kong time on Thursday. Traders are also keeping a close eye on the United States Consumer Price Index (CPI) report, which will be released on Thursday.
and Friday’s Producer Price Index (PPI) data.
The author believes that tomorrow, the United States Consumer Price Index (CPI) report will be a potential market catalyst, which may push gold prices up or down.
If the data surprises to the upside, it could see gold prices make new stage lows. Conversely, if the data is very dovish, it could trigger another rally in gold prices to new all-time highs.
Gold technical analysis
Daily chart
On the daily chart, gold is close to the trend line, and buyers are expected to step in at this point to set a risk range below the trend line, ready to push gold higher and make new highs.
Sellers want to see gold fall below the trend line to increase bearish bets and move to new lows.
4-hour chart
On the 4-hour chart, gold prices fell below recent lows yesterday before recovering and continuing to decline. Buyers want to see gold prices rise back above $2,625 in order to prepare to push prices up and make new highs,
And sellers are likely to continue to target the trend line for now.
1-hour chart
On the 1-hour chart, the lower end of today’s average daily range is located near the trend line. If gold falls below the trend line today, the trend line should limit the decline.
Tomorrow’s United States CPI report could determine whether gold prices continue to rise or fall further.
At 22:10 Hong Kong time, spot gold was at $2607.60 an ounce.
Author: Zhou Tong (Analyst) 09-10-2024
#The above is only the author’s personal opinion and has nothing to do with the company’s position.
#The policy recommendations are for informational purposes only, there are risks in entering the market, and investment needs to be cautious.