How to trade gold during U.S. Session?
Today the key event during the U.S. session will be U.S. Fed Chair Powell’s Speech and New Home Sales results scheduled at 1400 GMT/1930 IST.
Powell is going to deliver opening remarks in an online event hosted by the Federal Reserve. Volatility is often experienced during his speeches as traders attempt to decipher interest rate clues.
At the same time U.S. New Home Sales data is scheduled. It’s a leading indicator of economic health because the sale of a new home triggers a wide-reaching ripple effect. For example, furniture and appliances are purchased for the home, a mortgage is sold by the financing bank, and brokers are paid to execute the transaction. If ‘Actual Result’ is greater than ‘Forecasted’, it is good for currency.
Let’s see how Gold has reacted during the previous data release:
- Gold spikes down sharply in early U.S. Session and hovers around $1,750 mark.
- Today pair made intraday high at $1,757 and low at $1,742 mark.
- A day chart and H1 chart with triple EMA suggests bearish trend for the time being.
- A sustained close above $1,757 on H1 chart requires for the upside rally.
- Alternatively, a consistent close below $1,742 will check further supports.
Take a look and do trade wisely!