The gold price has rebounded while the US dollar weakened in the first few hours after the FOMC. After a long phase with very little volatility, investors are awaiting the price to breakthrough the key level of $1,475 in order to give bullion a more defined direction. Technically, the price remains in the lateral channel between $1,450 and $1,475 but with growing pressure on the upward edge. This confirms investors’ interest in bullion is returning on the day of the UK election and the meeting of the ECB.
Carlo Alberto De Casa – Chief analyst, ActivTrades