Gold Daily Analysis – November 22, 2017

Gold prices edged higher on Tuesday and continue to trade higher on Wednesday morning as traders await the minutes of the Federal Reserve meeting scheduled later on today for hints on future monetary policy action. As December rate hike is priced in the market, investors will look for next year’s hike expectations. Gold is trading at 1284, up +0.25% as of 9:00 GMT.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, dropped by 0.12% to 93.91.

Technical view

The Gold 4H chart has formed the “Ascending Broadening wedge” pattern. Gold prices consolidated and continue to trade in the channel as you can see in the chart. Gold stays in the range for a long time which might spark a big move once a major break will occur.

The market is expected to continue the same trend and the downside rally might extend to $1276 where a strong support is holding. Resistance holds at $1284.