May the 19th 2021
Tonight’s release of the minutes for the April meeting of the US Federal Reserve will likely be the catalyst to move GOLD. I am pretty certain the Fed will not talk of tapering and they will carry on with its message of no policy change until full employment is achieved. As for higher inflation it’s just transitory. Yawn.
The market is probably looking for this dovish message to encourage further USD Dollar weakness, so it can take out resistance at 1872/1874 and move on to break above 1880.00
There now are buyers waiting for dips at 1866.00 to 1864.00, if they become impatient we will soon see another test of 1874.00.
However, if we do get a correction to the downside there is strong support to be found at 1854.00
The release of the minutes comes after the London close, so volumes may be lower and volatility could be increased tonight.
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