Today's gold market is expected to experience high levels of volatility
Today's gold movements are expected to be strongly influenced by the Federal Reserve meeting
What's next for gold after its correction to $1935?
Today's Federal Reserve decision on interest rate hikes is likely to have a strong impact on gold
Despite the violent correction, gold is still maintaining an upward trend
What Can We Expect from the US Federal Reserve Meeting Today and Its Impact on Gold?
The US Federal Reserve is scheduled to meet today at 6:00 GMT. Opinions differ on whether it will raise interest rates by 25 basis points on the US dollar to control the inflationary wave. However, some speculate that the Federal Reserve is hesitant between raising interest rates or keeping them temporarily unchanged due to concerns about the repercussions of the Silicon Valley and Credit Suisse bank crisis. After the decision is announced, the Chairman of the Federal Reserve, Jerome Powell, will speak at a press conference. Regardless of the decision, whether to maintain or raise interest rates, it will have a strong impact on gold movements today.
What Is the Impact of Today's Decision on Gold Movements?
Despite the correction of gold from its 2009 levels to the support level of $1935, it still maintains movements within the upward trend on the medium and long term. As long as it remains above the support level of $1934.00, it is likely that gold's rise will extend to test the resistance level of $1963.00. If this resistance level is exceeded, it may further rise to test the peak of $2009.00, which represents the highest peak achieved by gold this year. If it surpasses this level, gold may achieve a new peak around the levels of $2050.00, followed by the historical peak of gold at $2070.00, which was recorded last year in 2022. However, this scenario of a rise is conditional on gold prices remaining above the level of $1935.00. If this level is broken, it is likely that gold's decline will extend to test the support level of $1912.00. If this level is also broken, it may further decline to test the next support level of $1887.00.