Gold Price Weekly Forecast
The market was trading inside the previous week's range as it wraps up its fourth successive week of gains. A price action that suggests investor indecision and impending volatility, now the market continues to be underpinned by the thought of having the U.S. Federal Reserve slowing down or halting its monetary policy tightening cycle. Although, there's still increased demand for risky assets, which continues to keep a lid on prices.
The price action in the U.S. Dollar was what determined the direction of the gold market since it is a commodity that is a dollar-denominated market; gold tends to weaken when the greenback strengthens, and when the dollar goes weak, it is only expected to see gold moving higher. This price action occurred a lot on last week, and it is supposed to know the relationship is likely to continue on the coming week.
As the price action will continue to be driven this week by the direction of the U.S. Dollar, the greenback would largely be influenced by the direction of U.S. Treasury yields, which will be moved by an appetite for risk and some economic reports, Fed speakers and the government shutdown.