GOLD PRICE FORECAST: XAU/USD BATTLES KEY $2,650 LEVEL AT THE START OF THE FED WEEK
GOLD PRICE FORECAST: XAU/USD BATTLES KEY $2,650 LEVEL AT THE START OF THE FED WEEK
Gold price rebounds early Monday after two days of losses, holding around $2,650.
US Dollar retreats and Treasury bond yields decline ahead of the Fed policy announcement.
Gold price bounce due to pre-Fed repositioning and geopolitical tensions (Israel-Gaza, South Korea).
Markets have priced in a quarter-point rate cut, but expect fewer cuts in 2025.
Gold support from geopolitical instability, but the US Dollar strength may limit further upside.
China’s economic concerns and India’s gold demand drop may weigh on gold prices.
$2,650 (21-day SMA) is crucial support.
$2,670 (50-day SMA) and $2,700 are key resistance levels.
Risk of downside: A close below $2,650 could lead to a drop towards $2,613 and $2,600.
