The Federal Reserve concluded its FOMC meeting today, which was followed by a statement and then a press conference including a question-and-answer period by Chairman Powell. Gold futures traded to an intraday low of $1761.80 before recovering and trading positive on the day. The intraday low of gold today was precisely at the 21-day exponential moving average of $1761.80.

There are two major events that market participants are awaiting the outcome on. The first major event occurring this week is this month’s FOMC meeting, which began today, and concludes tomorrow. Secondly, president Joe Biden will also address Congress later on this week, his first address to Congress since he was elected approximately 100 days ago.

Gold futures basis the most active June 2021 Comex contract opened on Monday morning in Australia at $1777.60 and is currently fixed  at $1781 after trading up $3.20 in New York . However, the future direction of gold pricing is highly contingent upon two major events set to occur at the beginning of this week.

Gold futures basis the most active June 2021 Comex contract opened on Monday morning in Australia at $1778.80 and today closed down - $5.50 (-0.31%) and is currently fixed at $1776.50. While gold had just under a $50 trading range during the week, by Friday’s close, gold futures lost only $2.20. The June contract traded to a high this week of $1798.80 and a low of $1764.40.

Gold futures gave up 1% in trading today, with the most active June 2021 Comex contract currently down $9.10 (-0.51%) and fixed at $1784.00. Gold began the last leg of this rally exactly a week ago when on Thursday, April 15, gold futures opened at $1736 and gained $28 on the day. This was followed by last Friday’s acceptable $10 gain.

Gold and silver futures had solid gains today with the most active June Comex 2021 contract gaining almost a full percent after gaining $15.90. Currently gold futures are fixed at $1794.30 that is a net gain of +0.89%. Although it has not challenged $1800 per ounce that would be the next target we would want to see gold futures close above.

This is a special edition of the Gold Forecast

The video will discuss an exit strategy that has to do with current potential resistance in both gold and silver.

Gold opened slightly lower at $1778.80 in Australia Monday morning (Sunday in the United States and Hawaii), which is only a couple of dollars below Friday’s closing price. It traded in a narrow and defined price range between down a few dollars to up a few dollars for the majority of trading in Australia.

This week both gold and silver had substantial gains as multiple events were highly supportive of the safe-haven asset class. Rising geopolitical tensions, recent drops in the yield of 10-year Treasury notes, dollar weakness, a highly accommodative Federal Reserve and concern about the rising national debt all collectively moved gold and silver to multiweek highs.

Today both gold and silver had substantial gains as yields dropped for U.S. 10-year Treasury notes to 1.56%, and geopolitical tensions rose between the United States and China as well as Russia.