Gold Price Forecast: XAUUSD eyes $1,722 in the lead-up to FOMC Minutes

Gold Price attempts a rebound on Wednesday but is not out of the woods yet. Fed Minutes could open floors towards $1,722 for XAUUSD, FXStreet’s Dhwani Mehta reports.

More downside in the offing

“The US dollar is likely to regain its upside traction, as the FOMC June meeting’s minutes will support the Fed’s stance to move ‘expeditiously’ in order to control inflation. Should the Fed minutes reinforce expectations of a 75 bps July rate hike while leaving doors open for a 50 bps rise in September, then it would trigger another wave of risk-aversion, bolstering the haven bids for the buck.”

“Selling resurgence below the $1,750 key support will prompt bears to take on the rising channel measured target at $1,722.”  

“Any meaningful recovery will need acceptance above the $1,785 support-turned-resistance. Further up, $1,800 the figure will be put to test. Daily closing above the channel support now resistance at $1,817 is critical to sustaining the renewed upside in the bright metal.”