Gold Remains Well Supported Below $1,820 mark, Traders Eye U.S. Housing Start Data; May 18, 2022
U.S. Building Permits and Housing Starts
Today’s U.S. calendar will remain light for the day as U.S. will release Building Permits and Housing Start data at 1230 GMT/1800 IST. Building Permit is an excellent gauge of future construction activity because obtaining a permit is among the first steps in constructing a new building. While 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 enjoys roller coaster movement on Wednesday and remains well supported around $1,820 mark.
- Today pair made intraday high at $1,820 and low at $1,807 mark.
- A day chart and H1 chart with triple EMA suggest bearish trend for the time being.
- A sustained close above $1,821 on H1 chart requires for the upside rally.
- Alternatively, a consistent close below $1,808 on H1 chart will test further supports.
Take a look and do trade wisely!