What’s up, traders.
The precious metal GOLD has shown little reaction to the FOMC meeting minutes from last month. The minutes recorded that the US central bank is backing down from the rate hike scenario and is in no hurry to adjust monetary policy one way or another.
In addition to revealing the “patient” approach, the minutes had a slightly positive expression on the global economic outlook. However, gold prices were almost stable on the day ahead of the report and have seen little momentum in the initial reaction to it.
For now, gold is trading around 1,277, having immediate support around 1,267. On the upper side, gold has violated the long-held resistance level of 1,275. Now, this could lead to gold prices towards 1.280, 1285, and 1,289.
On the other hand, the violation of 1,267 can open further room for selling until 1,250 and even lower.
Key Trading Level: 1273.66
Gold – Trading Signal
The idea is to stay bullish above 1,275 with a stop loss below 1,273 and take profit of around 1,279.