|Day's range||1,215.30 - 1,232.40|
Shinil Group, a South Korea treasure-hunting company, has announced that it will launch an ICO after discovering worth $130 billion in gold from the wreckage of the Russian cruiser Dmitrii Donskoi. Dmitrii Donskoi was scuttled in 1905 after being severely damaged in the Russo-Japanese War. Since then, it has been ‘found’ many times in the past two decades.
This week’s price action in gold will once again be dictated by the direction of the U.S. Dollar. While rising Treasury yields could boost the dollar, additional tweets or comments from President Trump on monetary policy or tariffs on China could limit the dollar’s gains or even drive it lower. This would be supportive for gold prices.
Based on last week’s price action and the close at 25030, the direction of the September E-mini Dow Jones Industrial Average futures contract this week will be determined by trader reaction to the downtrending Gann angle at 25008.
Another big week ahead, U.S earnings, 2nd quarter GDP numbers, Trade wars and ECB monetary policy all in focus.
Based on last week’s close at .7418, the direction of the AUD/USD this week will be determined by trader reaction to a pair of Gann angles at .7397 and .7430. The main trend is down according to the weekly swing chart. However, momentum has been trying to shift to the upside since the formation of the closing price reversal bottom at .7310 the week-ending July 6.
The S&P 500 was very choppy in the week on Friday, reaching just above where we opened in the CFD market. As I record this, it looks as if the 2810 level is going to offer significant resistance. I think that resistance extends higher, so at this point I don’t think the market is quite ready to take off.
Crude oil markets got pummeled on Friday as the bearish pressure came back into play immediately. We are covering towards the lows of the week, signaling that perhaps we will see continued selling pressure, and at this point I think that rallies will continue to struggle.
Natural gas markets were relatively flat on Friday, as we test the $2.78 level. It looks as if the market is ready to roll over a bit as we approached the 200 hour moving average. Beyond that, there seems to be a lot of supply in the neighborhood, and of course we are in a recent downturn.
Gold markets rally during the trading session on Friday, breaking towards the $1230 level before running into a bit of resistance. The market had been oversold to begin with, so when Donald Trump suggested that interest rates in America needed to stay lower, that sparked a US dollar selloff.
The EUR/USD pair was having a fairly quiet Friday, that was until President Donald Trump tweeted that the US dollar was being unfairly strengthened due to soft economic policy by the EU, Japan, and many other countries. Ultimately, I find this a bit ironic, considering that he doesn’t have the power to change monetary policy.
Investing.com – Metal prices were higher Friday as the dollar moved sharply lower after President Donald Trump said higher interest rates and the strength of the greenback were hampering economic growth.
Gold prices rose on Friday as U.S. President Donald Trump criticized the Federal Reserve for increasing interest rates. Comex gold futures for August delivery rose 0.47% to $1,229.70 a troy ounce as of 10:29 AM ET (14:29 GMT). Trump said in an interview on CNBC that he does not approve of how the Fed is approaching monetary policy.
Fresh Sell-Off Hits Gold: Is $1,200 the Next Stop? Investors, market participants, and analysts have been puzzled by gold’s weakness in recent months despite escalating trade war tensions and geopolitical risks. The Fed’s aggressive stance on interest rate hikes has also been weighing on gold.
Many investors might seek to buy gold at a discounted price while some risk aggressive investors want to short gold for the near term via ETFs.
With gold slipping into correction territory, there is still some hope for the gold stocks that have witnessed rising earnings estimates and has a favorable Zacks Rank.
Investors are typically interested in gold mining companies’ (GDX)(GDXJ) ability to generate FCF (free cash flow) because FCF helps them invest in future growth—apart from the aim of returning cash to shareholders.
Fresh Sell-Off Hits Gold: Is $1,200 the Next Stop? In the previous part, we discussed how gold prices lost ~1% following Fed Chair Jerome Powell’s strong outlook for US economic growth and his conviction in the gradual rate hike path. Gold fell ~0.43% on July 19 and ended the day at $1,218 per ounce.
Southern Copper (SCCO) is poised well on expansion projects and solid outlook for metal prices. However, lower production and higher debt remain concerns.
Crude oil traded with increased volatility and mixed sentiment on Thursday. On July 20, crude oil opened on a stronger note and was trading with strength in the early hours.
Based on the early price action especially the inside move, the direction of the August Comex gold market today is likely to be determined by trader reaction to yesterday’s high at $1229.60 and yesterday’s low at $1210.70.
Silver markets fell during the trading session on Thursday, reaching down towards the $15.20 level. The level has caused a bit of a bounce, and it looks very likely that we may get a bit of a relief rally from here. If you’ve been following me here at FX Empire, you know that I recognize this is a zone of interest for longer-term “buy-and-hold” investors.
Gold markets fell against the US dollar during the trading session on Thursday as we have broken towards the $1215 level. I believe that there is a ton of support just below, but obviously we have a lot of bearish pressure to get rid of until that shows itself.
The US dollar has rallied rather significantly during the trading session on Thursday, breaking above the ¥113 level again. It looks as if we are trying to make a fresh eyes, then shows just how strong this pair has been as of late. Fundamentally speaking, it makes sense that the US dollar will continue to strengthen against Japanese yen longer-term as interest rates rising in America.
The Australian dollar sliced through the 0.7350 level during the day on Thursday, showing a breach of serious support. However, when you look at the weekly chart, you can see that we still have the bottom of a couple of hammers extending down to the 0.73 level.
The prices have been consolidating and ranging but the bulls should be encouraged by the gains that have been ade over the last few days