In the early trading session today, gold was seen to have traded low up to the level of $2,018. However, the business patterns displayed by investors are seen as the same as yesterday.
Several series of economic data that have been reported yesterday are seen to have failed to impact the momentum on the gold market.
Instead, investors took precautions in evaluating a series of speeches by several Fed members from Wednesday this week until tonight.
The market sentiment at the moment evaluates the statement issued by several Fed members in a "Hawkish" tone. This follows the Fed committee's opinion that the existing interest rates in America should be maintained longer and there is no need to hastily implement interest rate cuts.
The ongoing geopolitical pressure is seen as an opportunity to increase gold demand, in addition to the risk of maintaining interest rates for a longer period of time is also able to provide prospects of opportunities for gold investors.
However, the economic pressure faced by China is seen to prevent gold from continuing to rise when the "Purchasing Manager Index" (PMI) data published in the Asian session today is seen to be weak as well as measuring the low demand and processing of gold.
If this pattern of market sentiment remains until the next trading session, it will be able to push the price of gold much lower and push the American Dollar currency up in the New York trading session later. Several Fed members scheduled to speak will be turning points for gold prices.
Technical Analysis
Based on the daily chart, the market is still seen to be in the "Up Trend" direction as the daily closing price is still at $2,023.
Even so, the price level of $2,035-$2,044 needs to be crossed before heading to the destination of $2,050.
However if on the other hand $2,023 measured on the daily chart is still the main obstacle before a further fall to the $2,000 price level.
Based on the structure of market demand since the beginning of this week, the price level of $2,015-$,2018 is seen to be the range of the main area for gold buyers.
