Gold Hovers around $1,860 mark ahead of U.S. Building Permits & Housing Start Data, $7+ Movement Likely; June 16, 2021
U.S. Building Permits & Housing Starts
Ahead of today’s key event FOMC Interest Rate Decision, U.S. will release Building Permits as well as Housing start data at 1230 GMT/1800 IST. It’s an excellent gauge of future construction activity because obtaining a permit is among the first steps in constructing a new building. In addition, housing start is a leading indicator of economic health because building construction produces a wide-reaching ripple effect. For example, jobs are created for the construction workers, subcontractors and inspectors are hired, and various construction services are purchased by the builder.
Let’s see how Gold has reacted during the previous data release:
- Gold moves in rigid boundaries ahead of U.S. opening.
- The pair made intraday high at $1,861 and low at $1,853 mark.
- A day chart is up but H1 chart with triple EMA confirms down trend for the time being.
- A sustained close above $1,862 on H1 chart requires for the upside rally. Alternatively, a consistent close below $1,852 will check further supports
Take a look and do trade wisely!