empty
 
 
You are about to leave
www.instaforex.eu >
a website operated by
INSTANT TRADING EU LTD
Open Account

23.11.202220:24 Forex Analysis & Reviews: XAU/USD: upside scenario ahead of FOMC meeting minutes

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

XAU/USD is trading in the green at 1,744 at the time of writing. Technically, the price action signaled that the downside movement is over and that the price could develop a new leg higher.

Fundamentally, the yellow metal turned to the upside after the US data publication. The Flash Services PMI dropped from 47.8 to 46.1 points, even though traders expected a potential growth to 48.0 points, while Flash Manufacturing PMI dropped from 50.4 to 47.6 points far below 50.0 estimates signaling contraction in this sector as well. This is the reason why the USD depreciated and Gold jumped higher.

Still, the FOMC Meeting Minutes could be decisive today. This is seen as a high-impact event and could really shake the price.

Gold Down Channel Breakout!

Exchange Rates 23.11.2022 analysis

Gold registered a false breakdown with great separation below the 1,732 - 1,729 support zone and now it has passed above the downtrend line signaling that the downside movement could be over.

Now, it's trapped between 1,729 and 1,749 levels. Escaping from this range could bring a strong move. After its false breakdown, the price action signaled an upside breakout.

Gold Forecast!

A valid breakout above 1,749, a new higher high validates a new leg higher. This is seen as a long signal. 1,786 stands as an upside target.

Ralph Shedler
Analytical expert of InstaForex
© 2007-2024

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.




You are now leaving www.instaforex.eu, a website operated by INSTANT TRADING EU LTD
Can't speak right now?
Ask your question in the chat.

Turn "Do Not Track" off