XAUUSD: Fundamental Overview

19 May 2023

Despite expectations of a fall, there has been a rise in inflation. This is not a "reacceleration of inflation" as some may have put it. While we expect inflation to mostly fall, it will take years, not months, to reach the Fed's target of 2%. This means that the US will have higher rates than other countries, even if inflation in the eurozone is higher. This is because the ECB is more cautious and has a lower terminal rate than the Fed's. As a result, the dollar is likely to remain strong for the whole year.

SELL XAUUSD zone 1978 - 1980

Stoploss: 1985
Take Profit1: 1973
Take Profit2: 1965
Take Profit3: 1950