Gold Price at an all-time high: Where’s it headed next?

Gold Price at an all-time high: Where's it headed next?

The gold price has continued to rise since November 13, 2023, and prices experienced an impressive rally on Thursday, touching a lifetime high of $63,205, up 0.27%. The momentum of the yellow metal is expected that the Fed can stop the rate cycle after weak US data.

The dollar fell to a three-month low on expectations that US economic growth will slow and markets will start cutting prices in the first half of the year.

However, the currency rose slightly after the latest US personal consumption expenditure inflation numbers lifted the USD and US yields. The annual price index for October and reported by the US Bureau of Economic Analysis came in as expected at 3%, up from 3.4% previously. Also in October, the annual Core PCE price index met consensus expectations at 3.5%, down from 3.7% previously.

On the data front, US initial jobless claims rose sharply to 231,000 in the week ended November 10, beating the forecast of 220,000. Industrial production also missed expectations in October, showing a decline of 0.3% compared to the expected 0.6 % of the market.

The focus now shifts to Fed Chairman Jerome Powell’s speech scheduled for later today.

Gold Price – Technical Outlook:

Gold Price - Technical Outlook:

Gold Price rose to 63205 yesterday and settled at 63040, up 0.37%. Today it traded up 0.17% at 63150. According to a revised view of November 22, 2023, all forecasts hit 61800-61950.00.

On the chart above, gold prices broke through the previous high and formed a long bullish candlestick. Furthermore, a strong break of the falling wedge still indicates an upward trend in the near future.

However, after the sudden upswing, prices may show some profit margin and gold may pull back before the next rally. On the upside, strong resistance is seen at 63220 and a break above could test 63380-63750.00. Otherwise, prices may fall to 62,800-62,500.00.

Commodity Samachar
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Also Read: Gold Price Soar to 1-Month High, Dollar Momentum To Carry it Forward – What Lies Ahead?, Gold Trading: What’s Driving the Prices to 7-Month Highs and Beyond?

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