Gold Analysis 30.01.2019

Gold futures rose during the Asian session, the highest since June 14 amid negative stability of the US dollar index, according to the opposite relationship between them on the eve of developments and economic data expected Wednesday by the US economy, which includes decisions and directions of monetary policymakers at the Reserve Bank And the launch of the second round of trade talks between Washington and Beijing.

Gold futures for April delivery rose 0.20% to currently trading at $ 1,317.80 per ounce, the highest in almost eight months compared with the opening at $ 1.315.20 an ounce, amid the decline of the US dollar index 0.04% To 95.78 compared to the opening at 95.82.

The markets are currently looking for the US economy to reveal preliminary data for the labor market with the publication of the index of change in private sector jobs, which may reflect the slow pace of job creation to 180 thousand added jobs compared with 271 thousand jobs added in December, From the disclosure of the monthly report of non-agricultural jobs and unemployment rates in addition to the rate of income per hour for the month.

Before we see the release of housing market data with the release of new home sales, which may reflect a rise of 0.8% from a 0.7% decline in November, to the event of today's decisions and directions of the Federal Open Market Committee amid expectations to keep interest on Federal funds at between 2.25% and 2.50% and move forward in reducing bond repurchase by $ 50 billion per month.

Federal Reserve Governor Jerome Powell is due to hold a press conference following a meeting of the Federal Open Market Committee (FOMC) on 29-30 June in Washington to comment on the committee's decisions and sentiment amid investor concern for any hints about the future of short-term benchmark interest rates and the Fed's balance sheet. It is also among the tools that reflect the Fed's tightening of monetary policy.

Otherwise, the financial markets are also looking closely at the launch of the second round of trade talks between the world's top economists as Chinese Vice Premier Liu Hu visits the United States on Thursday and Thursday to meet with US Trade Representative Leftizer and Treasury Secretary Stephen Menuchin to discuss trade disputes between the two countries. , And he is also expected to meet US President Donald Trump on Thursday.

Technical Analysis

The price of gold continues to rise to reach our main target at 1321.56, which represents 78.6% Fibonacci of the low from 1365.05 to 1160.00, which means that a breach of this level will confirm the continuation of the upward trend in the short term and extends to the medium term.

The ascending channel continues to carry the price to achieve further gains while the SMA 50 provides continuous positive support for the price. Therefore, we believe that the chances are for a continuation of the upside move during the coming sessions. The next target resides at 1335.00, while stability above 1286.70 is an important continuation Expected height.

The trading range for today is among the support at 1300.00 and resistance at 1330.00.

The general trend for today is bullish.