Gold Market Outlook 12 December 2024

Gold Market Outlook 12 December 2024

Gold bars on a red background with a bar graph, representing the AI trading market and the gold trading news.

Article by: ETO Markets

Gold (XAU/USD) experienced a partial recovery from its dip below $… during the Asian session but remains below its one-month high reached earlier on Thursday. Market expectations for the Federal Reserve's third consecutive interest rate cut next week, fuelled by Wednesday's US consumer inflation data, are bolstering gold's safe-haven appeal. Geopolitical risks, including the Russia-Ukraine war, Middle East conflicts, and concerns about President-elect Trump's proposed trade tariffs, further underpin the metal's demand. However, the Fed's struggle to achieve its 2% inflation target has led to rising US Treasury yields and a stronger US Dollar, capping gold's gains and prompting profit-taking. Despite these headwinds, any price dips are seen as potential buying opportunities, as traders monitor the US Producer Price Index and upcoming FOMC meeting for further market direction. Inflationary pressures linked to Trump's policies are expected to influence Treasury yields and Fed actions, keeping gold's trajectory uncertain in the near term. 

From a technical standpoint, the Relative Strength Index (RSI) on the hourly charts has eased from overbought levels, and oscillators on the daily chart are beginning to gain positive momentum, suggesting potential dip-buying opportunities for gold. Any further weakness below the $… mark may find support near the overnight swing low around $… supported by 50-days SMA. However, a continuation of selling pressure could drive gold lower towards the $… area as the starting point of bullish outlook. On the upside, $… could act as immediate resistance, with a breakout above this level likely targeting the all-time high near $…. 

Want completely chart technical analysis
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Want completely chart technical analysis
and trade recommendations on XAUUSD?

Want completely chart technical analysis
and trade recommendations on XAUUSD?

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The information provided on this website is general in nature only and does not constitute personal financial advice. Please note that investing in CFDs and Margin FX Contracts carries significant risks and is not suitable for all investors. You don’t own, or have, any interest in the underlying assets. Any information or general financial product advice given is generic in nature and does not take into account your financial situation, needs or personal objectives. Past performance is not a reliable indicator of future performance. Investing in leveraged products carries significant risks. We recommend that you seek independent advice and ensure that you fully understand the risks involved before trading. It is important that you read and consider our disclosure documents
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Disclaimer

ETO Markets Limited is registered in Seychelles with Company Number 850672-1 and authorised by the Financial Services Authority (FSA), Licence Number SD062; ETO Markets LLC is registered in Saint Vincent and the Grenadines with Company Number 3286LLC2023.


The information provided on this website is general in nature only and does not constitute personal financial advice. Please note that investing in CFDs and Margin FX Contracts carries significant risks and is not suitable for all investors. You don’t own, or have, any interest in the underlying assets. Any information or general financial product advice given is generic in nature and does not take into account your financial situation, needs or personal objectives. Past performance is not a reliable indicator of future performance. Investing in leveraged products carries significant risks. We recommend that you seek independent advice and ensure that you fully understand the risks involved before trading. It is important that you read and consider our disclosure documents
(Privacy Policy & Risk Disclosure) before you acquire any product.

2024 ETO Markets | All rights reserved

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Disclaimer

ETO Markets Limited is registered in Seychelles with Company Number 850672-1 and authorised by the Financial Services Authority (FSA), Licence Number SD062; ETO Markets LLC is registered in Saint Vincent and the Grenadines with Company Number 3286LLC2023.


The information provided on this website is general in nature only and does not constitute personal financial advice. Please note that investing in CFDs and Margin FX Contracts carries significant risks and is not suitable for all investors. You don’t own, or have, any interest in the underlying assets. Any information or general financial product advice given is generic in nature and does not take into account your financial situation, needs or personal objectives. Past performance is not a reliable indicator of future performance. Investing in leveraged products carries significant risks. We recommend that you seek independent advice and ensure that you fully understand the risks involved before trading. It is important that you read and consider our disclosure documents
(Privacy Policy & Risk Disclosure) before you acquire any product.

2024 ETO Markets | All rights reserved

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