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Gold edges up on weaker dollar, dovish U.S. Fed policy bets

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 Gold edged higher on Monday, helped by a weaker dollar and expectations that the U.S. Federal Reserve will reiterate its dovish monetary policy stance this week. Spot gold was up by 0.1% at $1,943.58 per ounce. U.S. gold futures rose 0.1% to $1,950.10 per ounce. “Gold is firm on the basis that the Fed could adopt a further dovish message with respect to average inflation targeting,” said Michael Hewson, chief market analyst at CMC Markets UK. “If you want to have a policy of average inflation targeting, you’re going to have to go into detail as to how you are going to arrive at that particular outcome.” The dollar retreated on Mond ay, bolstering gold’s appeal for investors holding other currencies, ahead of the Fed’s policy decision due on Wednesday. “If inflation forecasts remain at 2% or below, this could offer gold a tailwind as the zero-yielding metal thrives in a low-interest rate environment,” said FXTM analyst Lukman Otunuga. Market participants are also waiting
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Gold Price Futures (GC) Technical Analysis – Trader Reaction to Minor 50% Level at $1954.80 Sets the Tone

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  Gold futures closed lower on Thursday but up from its low of the session as investors battled a number of factors including U.S. economic data and outside market influences. Earlier in the session, gold fell over 1%, as positive economic data elevated hopes for a quick recovery while dampening the investment appeal of the precious metal. On Thursday, December Comex gold futures settled at $1937.40, down $11.60 or -0.60%. On the data front, a drop in U.S. jobless claims reported Thursday and positive manufacturing data reported earlier in the week are taking some shine off gold. A weaker Euro is also weighing on dollar-denominated gold by driving up thU.S. Dollar Index. U.S. weekly jobless claims fell below 1 million last week for the second time since the pandemic started, but did not signal a strong recovery in the labor market because the drop largely reflected a change in the methodology used to address seasonal fluctuations in data. Earlier in the week, a report s
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India, not Trump, is the real reason behind the crash in gold prices

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If you have been puzzled about the crash in gold prices after Donald Trump's election, you are in the company of almost every analyst and media outlet in the western world. Gold and silver are a major part of the research at The Arora Report. A combination of our proven precious metal algorithms, extensive resources and knowledge of the emerging markets led us to alert subscribers to The Arora Report early that gold was about to crash and the reason behind it. Immediately after the election, the net position of The Arora Report in gold, silver and miners has been short as part of a sophisticated strategy.
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Gold: Abnormal Behavior By Jim Rogers

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Gold: Abnormal Behavior By Jim Rogers
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Gold price are likely to fade as US interest rates move higher

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Gold bounced back above its 200d MA this morning after China returned to the market after a long weekend. We still believe that rallies in the gold price are likely to fade as US interest rates move higher. Support for the metal that emanates from geo- political risk around Russia and the Ukraine is very difficult to trade ,given that the price action is event and news flow driven. As a result we also believe that the influence of this event on the gold price is also likely to be transitory. We rather focus on underlying physical demand developments for the metal in Asia and developments in US interest rate. Gold support is at its 200d MA at $1,299 and $1,291. Resistance is at $1,316 and $1,320. As far as Chinese demand is concerned, we note that demand has improved marginally in the past two weeks, with the SGE premium shifting from being well in the negative territory into a marginally positive territory around the $0.50 level. This does signal that demand from especially China
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Gold Selling Could Dry Up Soon.

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Gold for June delivery fell $5.40, to settle at $1,288.50 an ounce on the Comex division of the New York Mercantile Exchange. That was the lowest settlement for a most -  ctive contract since April 3. May silver also took a hit, losing nearly 25 cents to $19.35 an ounce.  Gold prices had brea ched the 200 - day moving average around $1,299 right before the long weekend, which may have prompted some technical - based selling.The 100 - day moving average around $1277.0 could be the next target, and a close under that level could send gold even lower. But the producer- merchant segment of Comex participants are now showing their lowest short position in eight years, which indicates that selling could dry up soon.  Traders kept watch on the Ukraine - Russia conflict. The international organization tasked with helping to defuse the crisis intends to work on bolstering its ranks with more monitors. 
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For the gold price, two outcomes are possible.

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For the gold price, two outcomes are possible. First is a return to or near the April low ($1,277.40). Second is a drop to a lower low, $1,240 - $1,260. Yet a third possible outcome is that the June and December lows were not a double bottom and one further drop may come. I account that the least likely, and look for a low here by the end of the week, but I'm no more'n a nacheral born durnd fool from Tennessee, so what do I know?   You'd think that an institution charged with promoting the gold industry would produce reports that at least cast the best light on gold's prospects. You'd think wrong, if you're thinking about the World Gold Council. They've been negative on gold for, oh, the last 14 years or so. Today they issued a report that contained a nugget about Chinese business using physical gold as collateral for bank credit ($40 bn worth) but they managed to tease a gloomy forecast even out of this inventive monetary use. That and bad
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