Fed on pause? Watch Gold [Video]

Gregor Horvat Wavetraders

Some important Fed's Powell signals a potential end to hikes.

- The staff predicted a mild recession in general however, my forecast is for modest growth, not a recession.
- A decision on a pause was not made today.
-The economy is likely to face headwinds from credit conditions.
- Policy is having an impact on housing and investment.

If FED is really done soon with rates then Gold can easily break higher if we consider that despite higher US yields since end of 2021, Gold is trading close to ATH.

I think there is room for wave 5 to $2200/$2300.

Near-term support od dips is at $1970 and $1940.

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Author

Gregor Horvat

Wavetraders

Experience Grega is based in Slovenia and has been in the Forex market since 2003.

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