A Short Term Outlook: XAU/USD (Gold)
Today’s U.S. session will remain light as U.S. will release Revised UoM Consuemr Sentiment and Pending Home Sales data at the same time at 1400 GMT/1930 IST. There are 2 versions of this data released about 15 days apart – Preliminary and Revised. The Preliminary release is the earliest and thus tends to have more impact. While Pending Home Sales is a leading indicator of economic health because the sale of a home triggers a wide-reaching ripple effect. For example, renovations are done by the new owners, a mortgage is sold by the financing bank, and brokers are paid to execute the transaction. Gold likely to have 8+ volatility at the time of fundamental news.
Let’s check out key headlines from Russia –Ukraine:
- G7 restricting Russian Central Bank’s use of gold; U.S. imposes more curbs.
- Ukraine defence ministry says Russian forces have partly succeeded in creating land corridor between Crimea and occupied Donetsk region.
- UN senior human rights official says has received allegations of Russian forces killing civilians in cars during evacuations – reports Reuters.
- Russia denies breaching international law with phosphorus bombs (AFP).
- Ukraine urges EU to close Russia, Belarus borders to enforce sanctions.
- Russia is preparing to attack Poland: Ukraine envoy.
- Ukraine has retaken towns 35km east of Kyiv, says UK.
- Hungary rejects Zelenskyy’s appeal for weapons.
- Germany to end Russian coal imports by autumn: Ministry.
- NATO condemns in the strongest possible terms Russia’s full-scale invasion of Ukraine – which is an independent, peaceful and democratic country, and a close NATO partner. The Alliance calls on President Putin to stop this war immediately, withdraw all his forces from Ukraine without conditions and engage in genuine diplomacy – NATO Website.
- Gold trades marginally lower on Friday and touches $1,949 mark.
- Today pair made intraday high at $1,964 and low at $1,949 mark.
- A triple EMA on a day chart and H1 chart suggest bullish trend for the time being.
- A sustained close above $1,965 on H1 chart requires for the upside rally.
- Alternatively, a consistent close below $1,948 will check further supports.
Take a look and do trade wisely!