Gold Price Hits 3-Week Low On FOMC Statement

Summary

Join professional traders Phil Carr and Nik Kalsi of The Gold and Silver Club LIVE as they analyse the commodity markets and identify highly profitable trade set-ups on Gold, Silver, Oil, Natural Gas & the Commodity Currencies. This week on Wednesday, Gold Prices slipped to a three-week low, following the highly anticipated FOMC Statement, which signalled the Federal Reserve could hike interest rates in 6-months after the current bond-buying program ends. By Thursday, Gold prices fell to a low of $1320 an ounce, during Gold biggest one-day sell-off in 3-months, which presented commodities traders with a highly lucrative sell short opportunity. Overnight Gold price were back above $1330 an ounce as bargain hunters stepped in to buy on the dip. On Wednesday, the FOMC announced they would taper monthly asset purchases by a further $10 billion to $55 billion-a-month, which the markets expected. However the FOMC shook the financial markets by announcing an upward revisions to its benchmark interest rate forecasts. The market become nervous on the prospect of rates being raised as early as March 2015 – something traders were not expecting. Based on the current pace of taper, the Fed predicates – its bond-buying program could be completely unwound by October. The USD surged following the FOMC Statement, which in turn has been a bearish for the Precious Metals. The big question now is: Will Gold price make a comeback or continue to fall next week? Watch Phil and Nik as they review the commodities markets, analyse charts in real-time and provide a trading plan for the week of 24 – 28 March 2014.