Gold is making a short-term series of lower highs on the daily chart which may suggest the $1,805/oz. to $1,815/oz. zone of near-term support may come under threat. All bets may be off however if Fed chair Jerome Powell tempers any extreme hawkish rhetoric in his upcoming meetings with Congress. Chair Powell testifies to the Senate Banking Committee today (13:30 GMT) before speaking to the House Financial Services Committee on Thursday (14:00 GMT). Chair Powell has already opined that the central bank should hike interest rates by a further 50 or 75 bps at the next FOMC meeting in late July, and the market is currently pricing 71 basis points of rate hikes at this meeting. As always with these big economic events, it is wise to let the dust settle before making a trading decision.
