Take a look at this chart: Gold is currently forming a wedge, or triangle pattern – whichever term you prefer. 😊 With wedge patterns, we often see numerous fakeouts in both directions before the real, decisive move occurs. Another characteristic of these patterns is that as we approach the apex – or the 'nose' of the wedge – price movements tend to slow down, increasing the likelihood of a significant breakout in one direction.
This analysis is particularly relevant this week, considering the upcoming USD Federal Fund Rate meeting on Wednesday. The key question is: Will the rate remain at 5.5%, or are we looking at an increase or decrease? Time will indeed tell!
Remember, there's an inverse correlation between the USD and Gold: when one strengthens, the other typically weakens, and vice versa.
A word of caution: be extra vigilant when trading anything related to the USD this week. The market could experience heightened volatility before, during, and after the rate decision. To navigate these choppy waters, I recommend reducing your risk per trade.
For more in-depth market analysis, check out the videos on my social media profiles. Stay informed and trade wisely!
This analysis is particularly relevant this week, considering the upcoming USD Federal Fund Rate meeting on Wednesday. The key question is: Will the rate remain at 5.5%, or are we looking at an increase or decrease? Time will indeed tell!
Remember, there's an inverse correlation between the USD and Gold: when one strengthens, the other typically weakens, and vice versa.
A word of caution: be extra vigilant when trading anything related to the USD this week. The market could experience heightened volatility before, during, and after the rate decision. To navigate these choppy waters, I recommend reducing your risk per trade.
For more in-depth market analysis, check out the videos on my social media profiles. Stay informed and trade wisely!