From TradingView · · 1m 30s
Gold trading strategy for September 16
A technical analyst breaks down gold's next moves as the Fed makes its rate decision today.
In brief
A technical analyst breaks down gold's next moves as the Fed makes its rate decision today. Gold traders should watch for Fed commentary on future rates, not just today's decision, as it will determine whether safe-haven demand supports prices or rate expectations keep pressure on. Originally reported by TradingView.
Fed's future rate talk matters most
Today's rate decision is less important than what the Fed says about keeping rates high longer. If they signal sustained high rates, gold stays under pressure. If they sound cautious about oil-driven inflation, safe-haven buying could support prices.
Gold shows classic shakeout pattern
Gold surged to 4317 during Asian trading yesterday but retreated fast when it hit a trend line. It then bounced near the week's lows, creating a Doji star on the daily chart, signaling indecision.
Price trapped in narrow range
Gold is bouncing between 4250 to 4260 on the low end and 4310 to 4320 on the high end. Hourly and four-hour charts show sideways movement with momentum shifting between bullish and bearish.
Sell signals at key resistance levels
The analyst recommends selling near 4320 and again near 4335, targeting the upper bounds of the current trading range where resistance is expected.
Watch the Fed announcement closely
Market expectations for today's Fed decision are already priced in. The real move will come from the actual data and policy commentary released after the announcement.
What it means
Gold traders should watch for Fed commentary on future rates, not just today's decision, as it will determine whether safe-haven demand supports prices or rate expectations keep pressure on.
