We will be waiting for the Federal Reserve’s monetary policy meeting on Wednesday

πŸ“Œ Key points and overview:

  • Fundamentally, we will only think about buy positions when there is a clear change in FED policies.
  • We are looking for another sell opportunity at $1680 and $1700 levels
  • US ISM MANUFACTURING PMI and JOLTS JOB OPENINGS(SEP) are predicted tools for Wednesday 2Nov FOMC STATEMENT and FED INTEREST RATE DECISION
Fundamental bias is bearish, and Ziwox AI forecast is bearish too. Trend is Sell with COT report of -12% decrease in long positions.

πŸ“ Analysis:

Gold in the past week!

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In the past week, gold has stopped following an uptrend as the 10-year U.S. Treasury bond, which rose nearly 1% in the last few days of the week, forced gold to pull back.
Another reason for the decline in gold can be attributed to the rebound correction of the dollar index last weekend.

But in relation to this week,
The issue that analysts and big traders in the market have a consensus on is the risk and the possibility of slowing down the pace of interest rate hikes by the Federal Reserve.

Over the past months, we have consistently seen extremely aggressive Federal Reserve policies.
Aggressive increases in interest rates put pressure on the forex market. What we saw in both gold and cryptocurrency.


But what is now apparent to traders are two issues

  1. Slowing down the rate of inflation increases the speculation for the softening of the Federal Reserve’s policies
  2. Although inflation has not decreased significantly, we have seen decreases in the labor market
    Analysts and traders predict the possibility of the last cycle of interest rate hikes by the Federal Reserve

We never trade based on probabilities, but we tell all the possibilities in order to have a correct view of the market and avoid ambiguous trades.
So, according to the information mentioned above, we will be waiting for the Federal Reserve’s monetary policy meeting on Wednesday, November 2, together with the big market traders. The results obtained from this meeting will give us a better view of the future of gold.


πŸ“‰ Technical view:

πŸ”Έ $1620 is our strong support area and $1680

πŸ”ΈBy technical point of view, if I am looking to buy gold, I’m waiting for the price of gold stabilize above the rate of $1,700

πŸ”ΈBut Personally, We are looking for another sell opportunity at $1680 and $1700 levels, and for taking any long positions, fundamentally, We will only think about it when there is a clear change in FED policies.

3 possible gold movement depended on FED decisions by Alisabbaghi on TradingView.com

πŸ“° Important calendar events:
This week, a higher print of China MANUFACTURING PMI could be a driver for starting the week and the hope of the market.
And the highlighted events are US ISM MANUFACTURING PMI and JOLTS JOB OPENINGS(SEP)
because they are predicted tools for Wednesday 2Nov FOMC STATEMENT and FED INTEREST RATE DECISION
Any higher print could push down the gold and stocks