Fundamental News and Triggers

• The US Bureau of Labor Statistics (BLS) data showed that inflation is declining, raising the likelihood of a Federal Reserve rate decrease in 2024. As a result, the price of gold continued its upward trend for the second day in a row on Wednesday, reaching a three-week high of $2400. As the US Dollar Index shows, US Treasury bond rates are falling as the Greenback falls to a five-week low.
• Although he remains optimistic about the disinflation forecast, Fed Chair Jerome Powell stated on Tuesday that he expects inflation to continue declining.

 

Technical Triggers

• After a month-long consolidation phase, gold and silver prices are again catching up steam to touch previous highs. Gold has crossed the resistance of $2380 (~Rs 72700) zone, if prices sustain above $2400 (~Rs 73200), the next target is the previous high of $2448 (~Rs 74000) and $2500 (~Rs 75000).
• While Silver has cleared the resistance zone is $29 (~Rs 85700), the next target is the previous high of $30 (~Rs 88000) again.

 

Support and Resistance

 

 

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