Bullion Trading Sideways As Major US Events Due Later In The Week

Gold prices ended last week slightly higher supported by easing US inflation pressures but is flat during the APAC session at around $1927.80/oz. It reached a high of $1931.07 earlier followed by a low of $1924.53. The USD DXY index is flat.

• Gold remains in a bullish trend and any pullback is considered corrective. Moving average studies reflect the uptrend. $1963 is the next level to watch and $1893.70, the 20-day EMA, should provide support.
• The calendar remains quiet in the norther hemisphere later with the highlight the EC survey for January and only the Dallas Fed manufacturing index for January in the US. The Fed meeting on Wednesday February 1 and the January payrolls on Friday remain the focus of the week. A less hawkish 25bp move is likely to be supportive for gold prices.