Gold futures traded in a tight range slipping into the Asian session to see their sixth session rebound in seven sessions from its highest since April 11 as the US dollar index rose for the seventh session in eight sessions from its lowest since 18 of the same month according to the relationship On the eve of developments and economic data expected Wednesday by the US economy, the largest economy in the world, which includes disclosure of minutes of the meeting of the Federal Open Market Committee.
Gold futures for June delivery fell 0.05% to currently trade at $ 1,273.80 per ounce, showing a six-week high rebound compared to the opening at $ 1,274.40 an ounce, amid the rising US dollar index 0.01% to 98.02, showing a 5-week reversal from the opening at 98.01.
Investors are now waiting for Federal Open Market Committee Chairman James Pollard to speak about the outlook for the US economy and monetary policy at the Hong Kong Foreign Correspondents Club, and the talk of New York Bank President John Williams at a news conference about ownership Houses in the United States in New York.
This comes hours before the minutes of the Federal Committee meeting held at the end of April and early May, during which monetary policy makers at the Federal Reserve agreed to keep rates between 2.25% and 2.50% for the third consecutive meeting To move forward with a reduction in bond buybacks before they are frozen by September and a policy of patience.
On the other hand, we continued this week with the Ministry of Finance reported that the production of Russia (the third largest gold producer in the world) of gold in the first three months of this year rose to 58.12 metric tons compared to 51.61 in the same period last year 2018, amid According to the ministry, production during the first quarter of the year included 45.95 metric tons of gold extracted from mines compared to 39.78 in the first quarter of the previous year
Technical Analysis
The price of gold closed the daily candle below 1275.30, to activate the scenario of the bearish trend over the short and short term, as the price is heading for further bearish correction in the coming sessions, noting that our next target is at 1253.20.
SMA 50 supports the suggested bearish wave, while a breach of 1275.30 and then a positive 1283.00 will stop the current negative pressure and push the price to recover again.
The trading range for today is among the support at 1260.00 and resistance at 1285.00.
The general trend for today is bearish.