Gold Analysis 06-07-2021

Gold futures fluctuated in a narrow range tilted to the upside during the Asian session, to witness its rebound to the fourth session from its lowest since April 15, amid the rebound of the US dollar index for the third consecutive session from its highest since the sixth of the same month, according to the inverse relationship between them on the threshold Developments and economic data expected today, Tuesday, by the US economy, the largest economy in the world.

At exactly 05:08 am GMT, gold futures contracts for August delivery rose 0.58% to trade at $1,797.90 an ounce, compared to the opening at $1,787.50 an ounce, knowing that the contracts started the session’s trading on an upward price gap after it concluded yesterday’s trading. At $1,783.30 an ounce, with the US dollar index falling 0.11% to 92.14 compared to the opening at 92.24.

The markets are looking forward to revealing the final reading of the Institute of Service Supply Index by Markit for the United States, which may confirm an expansion at 64.8, unchanged from the initial reading for the month of June, and against an expansion at 70.4 last May, before we witnessed before. The US economy The release of the Institute of Services Supply Index reading, which may show a widening to 64.0 versus 63.4 in May.

Otherwise, the markets are looking forward to tomorrow, Wednesday, to reveal the minutes of the Federal Open Market Committee meeting, which was held on June 15-16, during which the interest rate was fixed at its lowest ever, between zero and 0.25%, and the bond purchase program was maintained above $120. billion, in addition to revealing the expectations of monetary policy makers for growth rates, inflation and unemployment, in addition to the future of interest rates for the next three years.

Technical Analysis

Gold price starts today’s trading with a new rise and tries to breach the level of 1800.00, which provides indications that the price is heading to activate the positive scenario for the upcoming period, but we need to get a daily closing above this level to confirm the continuation of the rise and head towards achieving gains that start at 1825.15 and extend to 1860.00.

From here, we will continue to remain neutral until the price confirms breaching the resistance 1800.00 or breaking the support 1770.00 to determine its next destination more precisely.

The expected trading range for today is between the support 1785.00 and the resistance 1820.00

Expected general tendency for today: side