Gold futures futures fluctuated in a tight range slipping towards the Asian session to see their rebound for the second high session since late February as the US dollar index rose in line with the inverse relationship between them following a Federal Open Market Committee The Federal Reserve Bank of the United States (EERC), the world's largest economy, was on Tuesday.
At 03:38 GMT Gold futures for June delivery fell 0.08% to currently trade at $ 1,320.50 per ounce compared to the opening at $ 1,321.50 per ounce, amid the dollar index rose 0.01% to 96.51 compared to the opening at 96.50.
We have followed the Federal Open Market Committee (FOMC) Chairman and Federal Reserve Bank Chairman Erick Rosengren at the Credit Suisse Asian Investment Conference, on the eve of another Federal Open Market Committee member, Federal Reserve Bank President Charles Evans, on the impact of Fed policies on Hong Kong Kong at the University of Chicago Francis and the University of Rose Yuen in Hong Kong.
The markets are also looking ahead to the US economy to release housing market data with the Housing Starts and Building Permits reading, which may reflect a decline in February, where building permits are expected to drop 1.3% to 1,300,000 versus a rise 1.40% at 1,345 thousand, and the index of construction starts may show a decline of 0.8% at 1,220 thousand homes against a rise of 18.6% at 1,230 thousand homes.
This comes ahead of the reading of the Home Price Index, which may reflect the acceleration of growth to 0.4% versus 0.3% last December, leading to the Consumer Confidence reading, which may reflect a widening to 132.1 vs. 131.4 in February, In conjunction with the release of the Rachamund Industrial Index, which may show a widening contraction to 12 versus 16 in February.
Otherwise, investors are looking forward later this week for a new round of US-China trade talks in Beijing as a US delegation heads to China before a Chinese delegation heads to Washington next week to complete talks amid expectations that the world's top economists will reach a trade deal To avoid war by April
Technical analysis:
The price of gold continued to rise above yesterday's 1320.00 barrier, consolidating expectations for a continuation of the upside move over the short term and intraday basis. The price continues to move within the ascending channel shown on the chart above and gets good positive support from SMA 50.
Therefore, we believe that the area is open for further gains in the coming sessions, with our next main target at 1346.73, while achieving stability above 1301.60.
The trading range for today is among the key support at 1310.00 and resistance at 1340.00.
The general trend for today is bullish.