Fundamental News and Triggers

• The precious metals price is retaining weekly gains above the highest level in nine days, above $2365, despite the US Dollar maintaining its recovery momentum with US Treasury note yields.
• The gold price anticipates that preliminary business PMI data from both sides of the Atlantic will provide a new trade impulse.
• First-time applications for Jobless Claims in the United States declined marginally this week, but new Home Sales fell to its lowest level in almost four years in May, indicating that economic growth remained lackluster in Q2.
• The US labor and housing markets are showing signs of cooling, fueling prospects for a September Fed rate cut, which would support the non-interest-bearing gold price.
• According to the CME FedWatch Tool, traders are presently pricing in a 64% likelihood that the Fed will lower interest rates in September.

 

Technical Triggers

• Gold has broken the upper side of the range of $2300-2365, prices need to sustain or give weekly closing above this level to reach $2400.
• Silver has formed Double Top formation around $32.5 on daily charts time frame. As prices have closed below the important support of $29.5, the Double top formation target is $28.50 and $26.50.

 

Support and Resistance

 

 

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