Gold Analysis 16/9/2022

Gold chart on the weekly timeframe

Gold is trading in a long-term bullish trend, and the last rise it recorded from 1496.304 (2) to 2065.9990 (1) represents the last impulsive wave in the bullish trend, which broke the previous top at 1703.307
This move indicates that gold can correct on the weekly frame of (3), which is the last low rise recorded by the market
Gold trading range is now in an uptrend corrective wave

Gold on the daily timeframe

Gold is trading on the daily chart in a general bearish trend forming high and high bottoms below each other, which indicates the bearish momentum
Breaching the level of 1676.042 and recording a bottom below it (i.e. closing on the daily frame) indicates the possibility of touching lower levels than what is currently traded, and 1590 and 1490 are not far away, and the next target for gold is at the level of 1632,264, but the most important thing is to maintain the 1737.214 level And not to breach it upwards to maintain the bearish momentum on gold

Gold on the four-hour timeframe

When we talk about trading gold on the weekly frame in a negative corrective wave, and we talk about trading gold on the daily frame in a bearish direction, traders should think about selling gold on the four-hour frame and try to find entry points for traders more accurate than the weekly and daily frame
On the four-hour time frame, we can identify a selling area between the level of 1725.517, which represents the 88% level of the Fibonacci retracement tool, and the level of 1717.886, which represents 78% of the Fibonacci retracement tool, and these levels we used with the use of the Fibonacci corrective tool from the top No. (1) To the bottom number (2) and the goals are divided into two
The first target is located at the bottom number (2), which is located at the level of 1650
The second goal is at the level of 1632,264
(The targets are activated after the rise and touching the selling levels mentioned in the above analysis)

News affecting the movements of gold

US inflation data tops this news as it was released on Tuesday and recorded positive numbers above expectations by 8.3%, which led to an increase in the US dollar and a decline in gold
On the other hand, the news of tightening monetary policy by the Federal Reserve supports the US dollar and the decline of gold due to the inverse relationship that brings them together.
As a result of these data and the Fed's handling of inflation, traders should pay attention to other matters
Fed ready to raise interest rates to fight inflation
The Federal Reserve raised the interest rate ceiling from 3.5% at the end of this year to 4.4% at the end of 2023
Positive inflation data opened the way for investors and traders to be optimistic about the US dollar, as they raised the interest ceiling with the rise in inflation.
Note: Raising the interest positively affected the currency, as well as positive inflation data, which positively affected the currency