Gold Price Forecast – Gold prices hit their first weekly profit since mid-April

Key insights

  • Gold prices started flat business but declining yield capital.

  • Investors fear a recession amid weak economic data.

  • Treasury yields tend to face downward pressure.

The price of gold Gained this week for the first time since mid-April. Prices begin to capitalize on yields and softening dollar pullbacks. The dollar is heading for its worst week since mid-February.

Benchmark yields have been low as investors in risk-off sentiment. Ten-year yields have dropped by 2 basis points today. The stock has plunged amid concerns among investors about a possible recession.

The economic calendar was light on Friday. However, investors’ fears have been heightened about the slowdown in economic growth and the recession, which has led to gains in gold as a safe haven for investors. Concerns about inflation have weighed on income. High prices are discouraging consumer spending and slowing growth.

The softening of the dollar and rising gold prices indicate investors’ apprehension about the direction of the market. The dollar was lifted amid geopolitical uncertainty as a safe haven, but Treasury yields, consistent with inflation, led to a weakening of the dollar.

Technical analysis

Gold prices posted slight losses on Friday but gained for the week on weak US economic data. Gold prices have been bullish over the weekend, above the 200-day moving average of 1839.

Support is seen near the 200-day moving average of 1839. On 12 May 1858 resistance was seen near the height.

Short-term momentum is positive because a rapid stochastic crossover could create a buy signal. Prices no longer sell because the stock stock quickly prints a reading of 43.87, which is above the 20 oversold trigger level.

The medium-term momentum turns positive as the MACD crossover could create a buy signal. This occurs when subtracting the 12-day moving average and the 26-day moving average moves below the 9-day moving average of the MACD line.

The MACD (Moving Average Convergence Divergence) The histogram has a negative trajectory pointing to a lower price.

This article was originally posted on FX Empire

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