Gold Price Prediction – Gold Consolidates Despite Uptick in Japanese Inflation

David Becker

Gold prices consolidated a traded sideways on Friday. While Asian markets were open, European, Australian and North American markets were closed for Good Friday.  Many markets are also closed on Monday. Japan reported that headline inflation ticked up slightly but this failed to be a significant markets mover. Riskier assets finished the week on a positive note, with Asian shares moving higher. The dollar lost some ground, despite a stronger than anticipated retail sales report, released on Thursday by the US Commerse Department.

Technical Analysis

Gold prices finished the week on a sour note. Prices declined 1.17% for the week, slicing through support near an upward sloping trend line at 1,284. Target support on the yellow metal is seen near the 50-week moving average at 1,257, which coincides with an upward sloping trend line. Weekly momentum has turned negative as the MACD (moving average convergence divergence) index generated a crossover sell signal. This occurs as the MACD line (the 12-week moving average minus the 26-week moving average) crosses below the MACD signal line (the 9-week moving average of the MACD line). The MACD histogram is printing in the red with a downward sloping trajectory which points to lower prices and accelerating negative momentum. The fast stochastic continued to head south. The current reading on the weekly fast stochastic is 16, which is below the oversold trigger level of 20, and could foreshadow a correction.

Japanese CPI Came in as Expected

Japan reported March national Consumer Prices.  Headline inflation picked up to 0.5% year over year from 0.2% in February, which was in line with expectations.  CPI Ex-fresh food edged higher comin in at 0.8% year over year.  Inflation remains low and below the central banks 2% target.  BOJ next meets April 25, and sources say that the central bank will forecast inflation of 1.5-2.0%.

This article was originally posted on FX Empire

More From FXEMPIRE:

  • Trump commutes Roger Stone's sentence before three-year prison term was to begin
    Yahoo News

    Trump commutes Roger Stone's sentence before three-year prison term was to begin

    President Trump on Friday commuted the three-year prison sentence for Republican operative Roger Stone, who was to report to a federal prison on Tuesday after being found guilty of obstruction, witness tampering and lying to Congress. In a statement released Friday night, White House press secretary Kayleigh McEnany called Stone's prison sentence “unjust.” “Roger Stone is a victim of the Russia Hoax that the Left and its allies in the media perpetuated for years in an attempt to undermine the Trump Presidency,” McEnany said in the statement.

  • Turn off your air conditioning, experts say after WHO shifts stance on airborne coronavirus
    The Telegraph

    Turn off your air conditioning, experts say after WHO shifts stance on airborne coronavirus

    Air conditioning units that recirculate the same air in a room should be switched off or only used with open windows, experts have urged, amid mounting concern around the role of airborne transmission to spread Covid-19. Dr Shaun Fitzgerald, a fellow at the Royal Academy of Engineering, said there were two types of air conditioning units - ones that take air in from outside and expel it out again, or those that recirculate the same air. Guidance from the Chartered Institution of Building Service Engineers, which Dr Fitzgerald helped draw up, warns that split air conditioning units that do not have a “dedicated source of outside air supply into a room… could be responsible for recirculating and spreading airborne viral particles into the path of socially distanced users”.

  • 2 officers killed in shootout in south Texas border town
    Associated Press

    2 officers killed in shootout in south Texas border town

    Two police officers were shot and killed Saturday in a South Texas border town after reportedly responding to a disturbance call, authorities said. The McAllen police officers were shot on the south side of the city and transported to an area hospital, said Lt. Christopher Olivarez, spokesman for the Texas Department of Public Safety. “We have lost two brave public servants who sought only to keep peace in our City," McAllen Police Chief Victor Rodriguez told The (McAllen) Monitor.

  • Outdoor Dinging Decor That's Sure to Bring Joy to Any Table 
    Architectural Digest

    Outdoor Dinging Decor That's Sure to Bring Joy to Any Table 

    Cheerful furnishings in citrine bring smiles to the outdoor table Originally Appeared on Architectural Digest

  • Dentist who slaughtered Cecil the lion ‘hunts and kills protected wild ram’ just four years later
    The Independent

    Dentist who slaughtered Cecil the lion ‘hunts and kills protected wild ram’ just four years later

    The American dentist who killed Cecil the lion is reported to have hunted another endangered wild animal. Walter Palmer is said to have slaughtered a protected ram in Mongolia, paying up to £80,000 for the kill. The hunter, who prompted a worldwide outpouring of fury when he targeted Cecil five years ago, was identified as one of two men in a photo with the dead Altai argali – the largest wild sheep in the world.

  • UN fails to find consensus after Russia, China veto on Syrian aid
    AFP

    UN fails to find consensus after Russia, China veto on Syrian aid

    The UN Security Council failed to find a consensus on prolonging cross-border humanitarian aid to Syria on Friday after Russia and China vetoed an extension and members rejected a counter proposal by Moscow. Without an agreement, authorization for the transport of aid to war-torn Syria, which has existed since 2014, expired Friday night. Germany and Belgium were working on a final initiative to save the effort, with hopes of bringing it to a vote this weekend.

  • ‘Tell us why.’ Restaurants protest Miami-Dade mayor’s latest dining room shutdown
    Miami Herald

    ‘Tell us why.’ Restaurants protest Miami-Dade mayor’s latest dining room shutdown

    Dozens of independent Miami restaurant owners closed their shops and showed up downtown Friday to protest the recent Miami-Dade County order that shut their restaurant dining rooms. Carrying signs with slogans like, “no science, no closures,” the hastily unified group of small business owners demanded that County Mayor Carlos Gimenez produce data — from contact tracers or otherwise — that showed a recent spike in Miami-Dade COVID-19 infections could be tracked to restaurants. Restaurant owners say they have been singled out, while the mayor's order, which went into effect July 9, allows gyms, construction sites and office spaces to stay open.

  • New Flynn Notes: ‘FBI Leadership’ Decided Not to Provide Russian Call Transcripts to Flynn in Interview
    National Review

    New Flynn Notes: ‘FBI Leadership’ Decided Not to Provide Russian Call Transcripts to Flynn in Interview

    Newly released documents in the Michael Flynn case include a January 2017 DOJ draft memo that states “FBI leadership” decided against showing Flynn transcripts of his calls with the Russian ambassador in the White House interview that led to his guilty plea. The DOJ document, dated January 30, 2017 — along with a batch of handwritten notes from DOJ and FBI officials describing Flynn's White House interview with former FBI agent Peter Strzok and FBI agent Joseph Pientka on January 24, 2017 — shed further light on the FBI's spontaneous interview with Flynn, who had just begun his role as national-security adviser for President Trump.

  • Hong Kong to suspend all schools due to spike in coronavirus cases
    Reuters

    Hong Kong to suspend all schools due to spike in coronavirus cases

    Hong Kong's Education Bureau on Friday announced the suspension of all schools from Monday after a sharp rise in locally transmitted coronavirus cases fuelled fears of renewed community spread. Schools in the Asian financial hub have been mostly shut since January, with many having switched to online learning and lessons by conference call. Many international schools are already on summer break.

  • The Lincoln Project's 'Never Trump' ads expertly troll a president who never fails to take the bait
    Yahoo News

    The Lincoln Project's 'Never Trump' ads expertly troll a president who never fails to take the bait

    A political campaign built around making videos designed to bait the president of the United States into overreacting would almost certainly have been a total waste of time at any other moment under any other commander in chief. But Donald Trump is unlike any other president. And so for the Lincoln Project, which was created by a group of anti-Trump Republican political operatives last December, that means there is a logic to being a metaphorical fly buzzing around the president's head.

  • Nile Dam row: Egypt and Ethiopia generate heat but no power
    BBC

    Nile Dam row: Egypt and Ethiopia generate heat but no power

    The recent meeting of the UN Security Council to discuss Ethiopia's huge hydro-electric plant, the Grand Ethiopian Renaissance Dam (Gerd), straddling the Blue Nile, was held by teleconference. The Gerd, which sits on the Nile's main tributary, is upstream of Egypt and has the potential to control the flow of water that the country almost entirely relies on. Using similar language, Ethiopia's UN ambassador Taye Atske-Selassie countered: "For Ethiopia, accessing and utilising its water resources is not a matter of choice, but of existential necessity."

  • Five Guys employees were fired for refusing to serve police officers in Alabama, as tension mounts between service workers and law enforcement
    INSIDER

    Five Guys employees were fired for refusing to serve police officers in Alabama, as tension mounts between service workers and law enforcement

    Hollis Johnson Employees of a Five Guys restaurant in Daphne, Alabama were fired for refusing to serve a group of police officers earlier this week, the company confirmed in a Facebook post. "As we uphold our commitment to fair, respectful, and equal treatment for all customers, please know that the actions and sentiments of a few employees in Daphne, AL do not represent Five Guys or the local franchisee," the post read. The incident is the latest in a series of recent confrontations between restaurant workers and police officers amid nationwide protests against racism and police brutality.

  • UN official: 700 people died in Syrian camps for IS families
    Associated Press

    UN official: 700 people died in Syrian camps for IS families

    The U.N. counterterrorism chief said his office received information that 700 people died recently in two camps in northeast Syria, where more than 70,000 mainly women and children connected to Islamic State fighters are detained in “very dire conditions.” Vladimir Voronkov told a news conference Thursday that the people, including children, died of “lack of medicine, lack of food” at the al-Hol and Roj camps, which are overseen by Kurdish-led forces allied with the United States who spearheaded the fight against the extremist Islamic State group. Voronkov did not clarify when the 700 reportedly died or what the source of the information was.

  • A revival of ultrafast supersonic passenger jet travel is inching closer to reality – take a look at the prototype debuting in October
    Business Insider

    A revival of ultrafast supersonic passenger jet travel is inching closer to reality – take a look at the prototype debuting in October

    Boom Supersonic Aircraft start-up Boom Supersonic is one step closer to bringing back supersonic passenger travel with its flagship Overture jet. The Overture's prototype and demonstrator, the XB-1, will be unveiled in October and plans to take to the skies in 2021. If the XB-1 has a successful test flight program, the Overture could fly within the next 10 years, bringing back supersonic travel to the public.

  • Neowise comet visible in the night sky
    23ABC News - Bakersfield

    Neowise comet visible in the night sky

    Neowise comet visible in the night sky

  • Seoul mayor takes own life after sexual harassment allegations
    AFP

    Seoul mayor takes own life after sexual harassment allegations

    The mayor of Seoul, a contender to be South Korea's next president and a former human rights lawyer, took his own life a day after he was accused of sexual harassment, authorities said Friday. Park Won-soon, whose body was recovered on a mountain in the capital, is by far the most high-profile politician to be implicated in a harassment case in South Korea, a highly patriarchal society where the #MeToo movement has led to the fall of scores of prominent men in multiple fields. Park offered a general apology in a suicide note -- handwritten with ink and brush -- found at his official residence and released by city authorities.

  • Russia's journalists under increasing pressure from the secret services in wake of Putin's shaky referendum victory
    The Telegraph

    Russia's journalists under increasing pressure from the secret services in wake of Putin's shaky referendum victory

    Russia's intelligence services have 'stepped up' their war on free media, carrying out a series of operations designed to intimidate journalists in the wake of Vladimir Putin's controversial referendum victory last week. In an unprecedented case for post-Soviet Russia, prominent defence reporter Ivan Safronov was seized outside his home on Tuesday morning by secret service agents and arrested on suspicion of treason. Last week's overwhelming approval of constitutional amendments allowing Vladimir Putin to stay in office at least until 2036 was hailed by the Kremlin as a “triumph.”

  • As COVID crisis worsens, Miami-Dade scaling back $70M program for delivering senior meals
    Miami Herald

    As COVID crisis worsens, Miami-Dade scaling back $70M program for delivering senior meals

    As the coronavirus crisis hits a new peak, Miami-Dade is preparing to scale back one of its most expensive and ambitious programs to protect residents from the virus and isolation: a $70 million delivery operation that dropped off more than 8 million meals to the homes of elderly residents. The planned July 15 “sunset” of the emergency effort has charities alarmed about their ability to pick up the slack and county commissioners pushing Mayor Carlos Gimenez to spend more to extend the program. The Gimenez administration said meals will continue to be delivered but mostly through social-service agencies and charities.

  • Trump still struggling to articulate his agenda for a second term
    Yahoo News

    Trump still struggling to articulate his agenda for a second term

    During a Fox News town hall in Wisconsin late last month, President Trump was asked by host Sean Hannity to name his top priority items for a second term. Trump gave a meandering reply about now having the “experience” of being president and living in Washington, D.C. (“Now I know everybody,” he said), then quickly pivoted to the tell-all book by his former national security adviser John Bolton — all without laying out a single policy idea or plan. The answer frustrated Sen. Chuck Grassley, R-Iowa, who criticized Hannity for not making Trump focus.

  • U.S. records more than 66,000 new coronavirus cases in record spike
    Politico

    U.S. records more than 66,000 new coronavirus cases in record spike

    The United States recorded its highest one-day spike in new coronavirus cases since the pandemic began as hospitals in some hotspots approach capacity. The U.S. single-day record of more than 66,000 new coronavirus cases on Friday broke the previous record, set Thursday, by about 3,000 cases, according to a Johns Hopkins University tracker. The latest confirmed infections add to the nearly 3.2 million cases recorded nationwide since January.

  • Erdogan declares Hagia Sophia a mosque after Turkish court ruling
    Reuters

    Erdogan declares Hagia Sophia a mosque after Turkish court ruling

    President Tayyip Erdogan declared Istanbul's Hagia Sophia a mosque on Friday with the first Muslim prayers to begin in two weeks, after a top court ruled the ancient building's conversion to a museum by modern Turkey's founding statesman was illegal. Erdogan spoke on Friday just hours after the court ruling was published, brushing aside international warnings not to change the status of the nearly 1,500-year-old monument that is revered by Christians and Muslims alike. The United States, Russia and church leaders were among those to express concern about changing the status of the UNESCO World Heritage Site, a focal point of both the Christian Byzantine and Muslim Ottoman empires and now one of the most visited monuments in Turkey.

  • Lawmakers vote to shut down Philippines' largest TV network
    Associated Press

    Lawmakers vote to shut down Philippines' largest TV network

    Philippine lawmakers voted Friday to reject the license renewal of the country's largest TV network, shutting down a major news provider that had been repeatedly threatened by the president over its critical coverage. The House of Representatives' Committee on Franchises voted 70-11 to reject a new 25-year license for ABS-CBN Corp. The National Telecommunications Commission had ordered the broadcaster to shut down in May after its old franchise expired. Only the House of Representatives, which is dominated by President Rodrigo Duterte's allies, can grant such franchises and the chance of any reversal of Friday's vote is extremely low, lawmakers said.

  • Atlanta mayor rolls back the city's reopening to Phase 1 guidelines
    Business Insider

    Atlanta mayor rolls back the city's reopening to Phase 1 guidelines

    Atlanta Mayor Keisha Lance Bottoms rolled back the city's reopening plan amid surging coronavirus cases. Georgia Gov. Brian Kemp said the mayor's orders were not enforceable and couldn't override state mandates. Atlanta Mayor Keisha Lance Bottoms rolled back the city's reopening to Phase 1 guidelines amid coronavirus cases surge across the state, local outlet WGCL reported.

  • 'This is not the summer for a spontaneous road trip': The case for canceling your vacation
    USA TODAY

    'This is not the summer for a spontaneous road trip': The case for canceling your vacation

    It's time to cancel your summer vacation. "People should stay the (expletive) home," says Cassandra Marcella Metzger, a travel designer based in Washington, D.C., who makes her living tailoring trips for clients. Oh, I know: a travel agent and a travel columnist telling you not to travel is straight-up blasphemy!

  • Fourth day of virus protests in Serbia
    AFP

    Fourth day of virus protests in Serbia

    The protests were held as the Balkan nation announced a record daily death toll from COVID-19. Prime Minister Ana Brnabic said earlier Friday the Balkan state recorded 18 fatalities and 386 new cases over 24 hours in what she described as a "dramatic increase". At the same time, Brnabic condemned as "irresponsible" protests held in Belgrade and other cities on Thursday, after demonstrations in the capital on the previous two days had spilled over into violence.