Last week’s agenda was set by the Fed’s historic 75 basis point rate hike. However, gold prices managed to slide above $1,800 despite the hawkish Fed. Gold markets dropped to the previous bullish line for the first time in the trading week. Market analyst Christopher Lewis says that at this point, buyers step in to save the market. We have prepared the technical analysis of Christopher Lewis in his own unique way for our readers.
“Market is likely to struggle around $1,800”
Gold markets fell throughout the week to land on a long-time crucial bullish line. At this point, the market is likely to continue to see this district defendant at roughly $1,800. This is a market that I think will continue to see a lot of noisy behavior, perhaps to recover its bullish tone.
“This could be bad for gold prices”
The market will eventually see the $1,800 level to be crucial. So if we go down there, we’ll probably get more selling pressure. This is a bear market. So I think you need to be cautious about the idea of interest rates and whether they will continue to rise. If they do, that could be bad for gold.
“I think the gold market will eventually go out”
On the other hand, buyers are likely to come if we can climb above the obvious resistance area near $1,880. In this case, it is possible to pull the market to $ 2,000 in the long run. I think the gold market will eventually go out. But in the meantime, I know we’re going to see a lot of volatility. Therefore, you need to be prepared for this.
“Despite a lot of noise, gold prices are still in an uptrend”
In other words, you need to keep your position size small. It seems logical to only include it when it’s convenient for you. However, if you’re a long-term investor, you’ll also agree that going back and forth is pretty normal. Seeing this kind of volatility is something gold knows. As a result, gold prices are still in an uptrend, even though we are seeing a lot of noise.
cryptocoin.com As you can follow from the news, the latest US CPI data has reached the historical peak with 8.6. After that, it became obvious that the Federal Reserve, which was in trouble with inflation, would be aggressive in increasing interest rates. And on Wednesday, in line with expectations, the Fed made a historic 75 basis points move. Gold was resilient at first, but later declined. Spot gold closed Friday, down 0.97% at $1,839.26, according to TradingView data.
