GOLD Analysis and Recommendations For 28 May 2015
Gold recovered $1 to trade at 1188.80 as traders seem disinterested in the metals today. Gold dipped on Tuesday over $17 as strong data helped increase the dollar and the chances of an interest rate by the Fed. Friday Janet Yellen more or less gave a roadmap of increases supported by other Fed speaker this week. Silver eased a few points to 16.737 and Platinum gained $5.10 after taking a significant fall on Tuesday.
Gold futures finished lower on Tuesday, with upbeat U.S. data on new-home sales and consumer confidence helping to further strengthen the dollar and push prices for the metal to their lowest settlement in just over two weeks.
The day’s mostly upbeat economic data provided support for the dollar which helped to dull investment demand for gold. Commodities priced in dollars often trade inversely with the dollar, as moves in the U.S. unit can influence the attractiveness of those commodities to holders of other currencies.
Gold had edged higher in morning trading after the dollar fell against a basket of other currencies on speculation that the strong data would indicate a stronger economy pushing forward the monetary tightening sometime in the next few months. Gold for immediate delivery ended mostly flat at the end of trading after trading modestly higher before the inflation data.
In the first day of this week, we have seen some waves in precious metals. Negative data from US limited GOLD’s fall for a while and after US markets open, rised some till 1204. After than fell below this level and tested 1187 again. So for a short time, 1183.50 – 1202.90 band should be monitored. Between these levels, there may be a couple of buy and sell opportunities. Breaking below 1183.50 would trigger testing 1170. Traders should be careful around this levels.
Pivot : 1202.90
ForexTraq provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information for Precious in our weekly reports.
Today’s economic releases actual vs. forecast:
|JPY||Monetary Policy Minutes|
|AUD||RBA Assist Gov Lowe Speaks|
|AUD||Construction Work Done||-2.4%||-1.5%||-0.6%|
|EUR||GfK German Consumer Climate||10.2||10.0||10.1|
Upcoming Economic Events that you should be monitoring in trading forex for GOLD :
Thursday, May 28, 2015
|JPY||Retail Sales (YoY) (Apr)||5.4%||-9.7%|
|AUD||Private New Capital||-2.4%||-2.2%|
|USD||FOMC Member Williams|
|EUR||Spanish GDP (QoQ) (Q1)||0.9%||0.9%|
|GBP||BBA Mortgage Approvals||39.2K||38.8K|
|GBP||Business Investment (QoQ)||1.0%||-0.9%|
|GBP||GDP (YoY) (Q1)||2.5%||2.4%|
|RUB||Central Bank reserves (USD)||362.3B|
|USD||Initial Jobless Claims||270K||274K|
|CAD||Current Account (Q1)||-18.5B||-13.9B|
|CAD||RMPI (MoM) (Apr)||1.6%||-0.9%|
|USD||Pending Home Sales (MoM)||0.9%||1.1%|
|USD||Crude Oil Inventories||-2.674M|
Government Bond Auctions
Date Time Country
May 27 09:15 Norway Holds bond auction
May 27 09:30 Germany Eur 2bn 2.5% Aug 2046 Bund
May 27 09:30 UK Auctions 0.125% 2058 I/L Gilt
May 27 16:00 US Auctions 2-year FRNs
May 27 17:00 US Auctions 5-year notes
May 28 09:10 Italy Auctions BTPs/CCTeus
May 28 09:10 Sweden Holds inflation-linked bond auction
May 28 17:00 US Auctions 7-year notes
Jun 02 11:30 UK Auctions 2% 2025 Conventional Gilt
Jun 03 11:03 Sweden Holds bond auction
Jun 03 11:30 Germany Eur 3bn Apr 2020
Jun 04 11:10 France Auctions OATs
Precious analysis forecast