Gold Trades Flat Ahead of Key U.S. Indicators, $15+ Volatility Expected; Jan 21, 2021
U.S. Philly Fed Manufacturing Index
U.S. has scheduled to release Philly Fed Manufacturing Index data along with building permits, housing starts and unemployment claims weekly data. The release time of all the key fundamental indicators will be same at 1330 GMT/1900 IST. As all the indicators are releasing together, mixed data may capture market volatility.
Here I am briefing you out regarding U.S. Philly Fed Manufacturing Index. It’s a leading indicator of economic health – businesses react quickly to market conditions and changes in their sentiment can be an early signal of future economic activity such as spending, hiring and investment. This data is derived via survey of about 250 manufacturers in the Philadelphia Federal Reserve district which asks respondents to rate the relative level of general business conditions.
Let’s see how Gold has reacted during the previous data release:
XAU/USD (Gold): Gold trades flat ahead of key indicators from the U.S. itself. The pair made intraday high at $1,875 mark while low at $1,866 mark. A sustained close of a daily candle above $1,873 requires for the upside rally. Alternatively, reversal from key resistance will drag the parity down back below $1,850 mark.
Key Resistances: $1,885, $1,894, $1,902, $1,912
Key Supports: $1,862, $1,857, $1,848, $1,840
Take a look and do trade wisely!