ANALYSIS
NQ100 Finds Support from PPIApr 14
XAUUSD: Ounce Gold May Continue to Retreat
In the early hours of the morning, the People's Bank of China (PBoC) kept the 1-year LDR rate constant at 3.65% in its October monetary policy meeting announcement, giving some support to ounce gold. However, just days before the US Federal Reserve's (FED) monetary policy meeting dated November 1-2, the Committee's 75 basis point rate hike is considered almost certain, while the US 10-year bond yields have updated their 14-year high with 4.15%. Under this outlook, the yellow metal, which is unlikely to go into a permanent recovery path against the dollar, is likely to bring the psychological 1600 support to the agenda, which will be the lowest level since April 2020, as it regresses to 1616 support by defending the descending channel movement. In the upside scenario, 1642 resistance, which points to the upper boundary line of the channel, can be followed.
Support: 1616 – 1600 – 1588
Resistance: 1642 – 1653 – 1664
