Gold Analysis 14.11.2018

Gold futures traded in a narrowly bullish range during the Asian session to see their rebound to its second lowest session since October 11 as the US dollar index rebounded to its third high since January 22, 2017 According to the inverse relationship between them following the developments and economic data that followed the Chinese economy, the largest consumer of metals globally and on the brink of developments and economic data expected Wednesday by the US economy, the largest economy in the world.

Gold futures for December delivery rose 0.28% to currently trade at $ 1,204.80 per ounce, showing a five-week decline from the opening at $ 1,201.40 an ounce, amid a drop in the dollar index American currency rose 0.26% to 97.05, showing a continuation of its rebound since the beginning of last year compared to the opening at 97.30.

We followed the National Bureau of Statistics (NBS) to China reading the Unemployment Rate, which showed a stability of 4.9%, unchanged from September, and revealed the annual reading of the retail sales index, which showed a growth slowdown of 8.6% compared to the previous reading and expectations at 9.2 , And the annual reading of industrial production, which showed accelerated growth to 5.9% compared to 6.1%, compared to the previous reading and expectations at 5.8%.

This came in the wake of Japan's preliminary third-quarter GDP reading, which showed a contraction of 0.3% in line with expectations versus 0.7% growth in the second quarter. The same year's preliminary reading showed a 1.2% contraction versus 3.0% The annual reading of the index showed a contraction of 0.3% against stability at zero levels, worse than expected 0.1% contraction.

On the other hand, investors are eyeing the US economy to release inflation data with the release of the consumer price index, which may reflect a rapid growth rate of 0.3% versus 0.1% in September. The same index may also show growth accelerating to 2.5% 2.3% in the previous annual reading for the month of September.

Markets are also looking for a substantial Core CPI reading, which could reflect a 0.2% growth in growth versus 0.1% in September, while the annual reading of the same index may show a 2.2% growth stability, before we witness the testimony of a Federal Committee member and Reserve Governor Federal Randall Quarles on banking supervision and regulation before the Financial Services Committee of the House of Representatives in Washington.

Technical analysis:

The price of gold continues to fluctuate around the support of the corrective corrective channel, noting that Stochastic is losing its positive momentum significantly to reach oversold areas, awaiting a rebound on the downside move to resume the bearishness suggested in our recent reports, which is affected by the previously completed double top pattern.

At the same time, the moving averages are pushing the price down.

Our next target is at 1180.00, while achieving stability below 1208.40 and 1212.00.

Support and resistance:

Support: 1200.0-1195.80-1187.80;

Resistance: 1204.50-1208.6-1212.0.

The trading range for today is among the support at 1180.00 and resistance at 1212.00.

The general trend for today is bearish.