Gold halts movement ahead of the Fed meeting this week. If Jerome Powell says that after the 0.50% - 1.0% rate hike the central bank will no longer implement a more aggressive one, risk appetite will return, which, in turn, will weaken the dollar and lift up gold prices
technical picture:
The quote is below the middle line of the Bollinger indicator, but above the SMA 5 and SMA 14. Meanwhile, the relative strength index (RSI) is below 50% and is indicating a decline, while the stochastic indicator is turning around in the oversold zone.
Possible dynamics:
Price will drop to 1833.70 if gold fails to hold at 1877.85. On the other hand, if the yellow metal consolidates above 1877.85, price will increase to 1962.00. A lot will depend on the Fed's policy decision this week.
