Weekly Outlook on Gold - 16th September 2022

Weekly Outlook on Gold
Weekly Outlook on Gold

by Sachin Gupta Last Updated: Dec 14, 2022 - 06:30 am 15.8k Views
Listen icon

Gold prices traded near to a two-year low on Friday's session and were set for a steep weekly fall as higher expectations of an aggressive interest rate hike by the Fed reserves boosted the dollar and dented bullion’s appeal. Signs of strength in the labor market and slight changes in the inflation numbers also pointed to the Fed having enough space to keep raising rates at a fast pace. Meanwhile, holdings of SPDR Gold Trust, the world's largest gold-backed exchange-traded fund, rose 0.15% to 962.01 tonnes on Thursday.  


                                         GOLD-WEEKLY OUTLOOK



Overall, the gold prices turned bearish and breached the most important support of $1680 on the Comex division. The prices were hovering near $1665 on Friday with a 3.5% down fall on a weekly basis and that move may continue as market participants are expecting at least a 75bps rate hike in the coming week. On a weekly chart, the price has slipped below 200-week Simple Moving Averages and Horizontal Line support that suggests a bearish move for the near term. However, all important key indicators like MACD, Stochastic and CCI shifted under oversold territory with no sign of recovery. On the lower side, the price may find support around $1655 and $1640 while, on the higher side, $1685 & $1700 would act as a resistance zone for the near term.    

                                                 Gold performance for August’22


Gold performance for August’22

On the MCX front, the gold prices were trading at Rs. 49000 on Friday's session, corrected by 3% from the prior week's close. On the daily time frame, the price has dragged below the support of 200-days EMA and continued the breakdown of the Symmetrical Triangle pattern that indicates bearish movement in the counter. On a weekly scale, the price has moved below 50% Retracement Levels. So, based on the above technical structure, we are expecting a sideways to bearish move in the gold. Traders are advised to follow the sell on rally strategy for the coming week. Also, keep closely watch on FOMC statements, held on 21st Sep.22. On the downside, it may find support at 48500 or 48000 levels. While, on the upside, 50000 & 50600 will act as resistance for the gold. 

Important Data:

FOMC Statement


Monetary Policy Summary


Unemployment Claims


Fed Chair Powell Speaks



Important Key Levels:





Support 1



Support 2



Resistance 1



Resistance 2



How do you rate this blog?


Start Investing in 5 mins*

Rs. 20 Flat Per Order | 0% Brokerage


About the Author

Mr. Sachin Gupta is a Senior Research Analyst at 5paisa, based in Mumbai. He has over 10 years of experience in Equity, Commodity research and strategies. 


Investment/Trading in securities Market is subject to market risk, past performance is not a guarantee of future performance. The risk of loss in trading and investment in Securities markets including Equites and Derivatives can be substantial.
Open Free Demat Account
Resend OTP
Please Enter OTP
Mobile No. belongs to

By proceeding, you agree to the T&C.

Latest Blogs
Weekly Outlook on Copper - 01 December 2023

Copper prices saw a modest 0.33% gain, reaching 722 on Thursday, as worries about a slowdown in Chinese manufacturing loomed large. The November's NBS Manufacturing PMI slipped to 49.4, the second consecutive monthly decline, heightened concerns, emphasizing the need for additional government support to fortify China's economic growth. The NBS Non-Manufacturing PMI at 50.2, reflecting the 11th month of service sector expansion, hinted at a softer pace.

Swing Trading Stocks: Week of 04 December 2023

Swing Trading Stocks for the Week

Weekly Market Outlook for 04 December to 08 December

Our markets started the truncated week on a positive note and it rallied higher throughout the week. The first day of the December month infact witnessed a new record as the Nifty surpassed its previous high and ended in uncharted territory above 20250 with weekly gains of almost two and a half percent.