Futures contracts for gold prices fluctuated in a narrow range sloping to an upside during the Asian session, to witness its retracement of the third session from its lowest since July 17, amid the decline of the US dollar index to its lowest since the beginning of September, when it tested its lowest since late April 2018 According to the inverse relationship between them, amid a scarcity of economic data on Thursday by the US economy due to the Thanksgiving holiday in the United States.
At exactly 05:42 a.m. GMT, gold futures contracts for next February delivery rose 0.10% to trade at $ 1,813.90 an ounce compared to the opening at $ 1,812.10 an ounce, knowing that the contracts started the session on a rising price gap after yesterday's trading was concluded At $ 1,811.20 per ounce, amid the US dollar index retreating 0.01% to 91.93 compared to the opening at 91.94.
We have just followed up on the disclosure of the minutes of the Federal Open Market Committee meeting held on November 4-5, in which monetary policy makers at the Federal Reserve decided to keep interest rates at their lowest rates ever, between zero and 0.25%. Amidst stressing the importance of fiscal stimulus policy to support the economy and discussing the possibility of increasing asset purchases to support the economy in its recovery from the Corona pandemic.
On the other hand, we followed last Monday the announcement of the US Public Services Administration that Joe Biden had won the 2020 US presidential elections, to become the Democratic Party’s candidate for the forty-sixth US president to succeed Republican President Donald Trump, whose term ends on January 20 of next year 2021. That gave Trump the green light for the Services Administration to begin the immediate process of transferring power to the Biden administration.
Technical analysis
Gold price shows sideways trading in the past sessions, maintaining its stability below 1819.00, which keeps our bearish expectations valid and effective, waiting for the breach of 1794.84 to confirm the extension of the downside wave towards 1765.00, which represents our next main target.
In general, we continue to suggest the downside trend for the upcoming period supported by the negative pressure formed by the EMA50, reminding you of the importance of stability below 1819.00 and 1830.00 to achieve the suggested targets.
The expected trading range for today is between 1780.00 support and 1825.00 resistance
The expected general trend for today: Bearish