GOLD TECHNICAL ANALYSIS – FOCUS ON FOMC DECISION
GOLD TECHNICAL ANALYSIS – FOCUS ON FOMC DECISION
Gold failed to break above the key resistance around $2,723 and pulled back, partly due to higher-than-expected US PPI data.
Market pricing remains steady with expectations of three rate cuts by the end of 2025, though rising real yields are starting to weigh on gold.
With the FOMC decision next Wednesday, there is anticipation for a potentially hawkish event, which could limit gold’s upside.
On the daily chart, gold rejected the $2,723 resistance and dropped to $2,675, with buyers needing a breakout above resistance for a new rally.
Strong support is seen around $2,660; buyers may re-enter near this level, while sellers target $2,600 on a further decline.
On the 1-hour chart, gold broke below an upward trendline, and consolidation at $2,680 may turn into a bear flag, potentially leading to a drop to $2,660.
