Gold prices weaker; Bulls hoping Dovish Powell

(Kitco News) – The price of gold is down slightly at the start of the US trading session on Tuesday. Bulls need a new fundamental spark in the news, despite the upbeat attitudes of investors and traders who have hijacked buyers of safe havens. That bullish spark could come from a "Fed speech" today. The gold futures in April were down $ 1.80 an ounce at $ 1,327.70. In May, Comex 's money was down from $ 0.055 to $ 15.775 an ounce.

US economic news on Tuesday will be the testimony of Federal Reserve Chairman Jerome Powell on the US economy before the Senate Banking and Banking Committee. Its prepared text will be released at 9:45 am EST. He addresses the House of Representatives on Wednesday. Most market observers believe that Powell will sound a little more accommodating to monetary policy than he did a few months ago. This would result from the recent trend of Fed officials to propose a more accommodating tone to US monetary policy.

The Asian and European stock markets were generally weaker overnight, due to corrective withdrawals from recent gains. US stock indexes also show slightly lower opening at the start of the New York daily session. US indices reached their highest level in three months on Monday, despite the generally optimistic attitude of operators and investors, and no major geopolitical fire is burning.

According to reports, the British pound was supported by reports that Prime Minister Theresa May is working on another Brexit deal and could delay the release date of the EU on March 29, including by organizing another referendum on the issue in order to avoid a "Brexit without agreement". . "

Major external markets are now seeing the US dollar index slightly lower. Nymex crude oil prices are down slightly and are trading at around $ 55.50 per barrel. Oil prices fell sharply Monday, partly on a tweet from President Trump, saying oil prices were too high and could hurt the global economy.

US economic reports to be released on Tuesday include Goldman Sachs and Johnson Redbook's retail sales weekly reports, new residential construction, S & P / Case-Shiller home price index, confidence index consumers and the monthly and quarterly housing price indexes in the United States.

Technically, the bulls of April still have the overall technical advantage in the short term. A 3.5-month uptrend is still in place on the daily bar chart. Bulls next bullish target is to produce a futures contract in April, above a strong resistance, at $ 1,350.00. Bears' next short-term price reduction target pushes prices under strong technical support to a low of $ 1,304.70 in the month of February. The first resistance is observed at the top of the night from $ 1,332.40, then to Monday's high at $ 1,334.90. The first support is seen at $ 1,323.30, then at $ 1,320.00. Wyckoff's Market Rating: 6.5

May the silver futures have the overall short-term technical advantage. An uptrend of 3.5 months is still in place on the daily bar chart. The Silver Bulls' next bullish price target is the closing price above the strong technical resistance at the February high of $ 16,295 an ounce. The next downside price target for the bears is that closing prices are below solid support at the February low of $ 15,545. The first resistance is seen at $ 16.00, then at Monday's high, at $ 16.06. The next support is seen at $ 15.75, then at $ 15,545. Wyckoff Market Estimate: 6.5.