Gold is preparing for a new round of gains in a week full of economic data
Gold prices recorded a noticeable recovery in the last days of weekly trading, rising by approximately 2.5% following the release of the inflation report in the United States, which was weaker than expected, which increased speculation about the possibility of the Federal Reserve cutting interest rates.
And gold ended Week trading (Friday, February 13) at $5,042 per ounce, while market expectations indicate a continuation of the upward trend for the yellow metal.
The weakness of the dollar and US interest rates support gold
The current position of most Federal Reserve officials (the US central bank) indicates that they will keep interest rates unchanged until next May, when the term of the current president, Jerome Powell, ends, and he will be succeeded by Kevin Warsh.
The financial markets raised the odds Cutting interest rates in June, with the probability of the Federal Reserve cutting interest rates by 25 basis points was 55%, according to Prime Market Terminal data.
On the other hand, The US dollarthe week traded with losses of 0.85%, making dollar-denominated gold less expensive for holders of other currencies.
A week full of data
Markets await early this week a busy agenda of US economic data, starting with data on durable goods orders, housing, and the minutes of Federal Reserve meetings.
In the middle of the week, traders will await data on initial unemployment claims, and the second estimate of the gross domestic product for the fourth quarter of In 2025, and the release of the core personal consumption expenditures price index, which is the Federal Reserve’s preferred indicator for measuring inflation.
These indicators are expected to have influential repercussions on the path of Gold prices during the week.
Gold price forecast
Technical analysis of the platform confirms "FX Street"that the gold trend is still bullish, with the 20-day moving average stabilizing at $4,971, which enhances the rise to exceed the $5,000 level, with purchasing momentum available.
The gold price faces severe resistance at the $5,100 level, and once it is crossed, the next major resistance level becomes $5,200, followed by the highest level recorded by gold on January 30 at $5,451, then the highest record level near 5,600. Dollars.
On the other hand, if gold has difficulty staying above $5,000, this will open the way for the price to fall.
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