Gold prices are declining in today's trading after a strong rise in yesterday's trading. Gold futures contracts are down 0.72% to $4,244.5 per ounce, while bullion gold prices are down 0.45% to $4,213 per ounce at the time of writing the report at 10:50 AM Riyadh time.
The US dollar index is holding steady at 99.36 against a basket of foreign currencies with little movement, while major Wall Street indices continue to decline in pre-opening trading, following a sharp drop in trading on Monday.
Markets are awaiting today's JOLTs job openings data, which may provide insight into the state of the labor market and is one of the key indicators driving the US Federal Reserve's decision.
In his speech at Stanford University, Federal Reserve Chairman Jerome Powell avoided discussing U.S. monetary policy or the Fed's anticipated decision next week.
Experts and investors are 84.8% inclined to expect interest rates to be cut to 3.75% by a reduction of 25 basis points, despite some Federal Reserve voices leaning towards the need to hold interest rates steady.
Analysis of spot gold contracts on the hourly timeframe
Long-term trend: Still strongly bullish—price above the 200-hour moving average ($ 4,129.5 ) and above the Ichimoku cloud ($ 4,212.8– $4,206.1).
Short-term momentum: Negative, with the Relative Strength Index (RSI) at 38.5 (below 50) and the DMI indicating seller dominance (-DI higher than +DI).
The critical range: The 4,200-4,245 area represents a technically indecisive zone. Any clear break of this range will determine the direction of the next move.
