Due to the certainty of Trump’s re-election, the dollar has strengthened across the board, which has accelerated the drop in gold prices. Gold has fallen below the middle line of the Bollinger Bands, and further broke below the lower limit of the upward channel at 2,695 USD. This could mean the end of the upward trend. Alternatively, it may be a temporary dip, with the potential to resume rising after today’s FOMC meeting.
In tomorrow’s early morning FOMC meeting, there is a high chance that Chair Powell will take a cautious stance on future rate cuts, as Trump’s presidency brings renewed concerns about inflation. If this happens, long-term U.S. interest rates may rise, leading to further gold selling.
Gold-Dollar forecast range: 2,695 to 2,600
Note: This information does not guarantee profit. Please make your own decisions when trading.