Forex News

14:49:27 01-12-2023

Gold Price Forecast: XAU/USD stalls below$2,045 ahead of Powell

  • XAU/USD is trading sideways with bears limited above $2,030.
  • Gold is losing momentum with US Treasury yields are picking up.
  • A dovish Powellmight send Gold higher.

Gold Prices are trading sideways on Friday, with bulls capped below the $2,045 resistance area with the $2,030 level containing downside attempts so far.


US Yields picking up from lows

US Treasury yields are picking up from multi-week lows, which has cushioned US Dollar weakness after the softer inflation levels seen on Thursday and added negative pressure on the precious metal.

Today the spotlight is on the Federal Reserves Chairman, Jerome Powell who is speaking at Spielman College in Atalanta. Powell will not mention rate cuts but the investors will be attentive for signals of a dovish turn, which would give a fresh impulse to Gold higher.

From a technical perspective, the XAU/USD maintains the bullish trend intact while above the $2,030 and $2,010 support levels. Below here, the next target is $1,985. Resistances are $2,045 and 2,066.

Technical Levels to Watch

 

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