Gold has seen a huge surge in prices after the Federal Reserve paused increasing interest rates with hints that in 2024 we might see 3 interest rate cuts coming.

According to the Fed, interest rates have already reached their peak at 5.4%, and they will be lowered to 4.6% by the central bank at least three times in 2024. Fed Chair Powell predicted reduced inflation in 2023 even though he acknowledged it was too soon to declare success over inflation.

The timing of the Fed's rate decrease announcement has become more widely speculated upon as a result of its dovish messaging. The Fed's projected rate drop of 25 basis points in March 2024 was priced in by traders, according to Fed fund futures prices, by more than 70%.

the price of gold jumped from the low of 1973.37 reaching 2035.37 currently, a massive move almost 62$ change within less than a day.

The action caused severe losses in the dollar, which nearly reached a four-month low, as well as considerable speculation about the timing of the Fed's anticipated cutbacks.

Looking from a technical Analysis point of view now:

1. We have the ADX showing a trending market under the effect of a positive crossover between DI+ and DI-.
2. The moving averages are showing buy signals all over from the 5 EMA up to the 200 EMA, with a golden crossover.
3. RSI, MACD and ROC showing buy signals. 

Support and Resistance levels :

Support:

• 1990.97
• 1955.53
• 1937.96

Resistance:

• 2043.97
• 2061.53
• 2096.97
  
  To start trading gold click on this link. 

  *All data provided is intended for educational or informational purposes only and should not be considered investment advice.