Gold Set for Biggest Monthly Drop Since 2008 on Fed's Hawkish Stance

The news headline indicates that the Fed's hawkish stance has sharply reduced gold prices. This could generally dampen risk appetite and put pressure on equities. Although GOOGL shares have risen 2.4% in the last 24 hours, with RSI at 60 and MACD in positive territory, this positive technical outlook may weaken in the short term due to the impact of the macroeconomic news. The decline in gold could shift investors' safe-haven preferences and reduce demand for technology stocks. Therefore, a downward movement can be expected in the short term.

Gold prices are under pressure due to the Federal Reserve's hawkish stance and news of the largest monthly decline since 2008. Technical indicators support this outlook: although the RSI at 34.8 is approaching oversold territory, momentum remains weak. The MACD line is below the signal line and in negative territory, indicating that the downtrend may continue. Short-term moving averages (SMA20 and SMA50) are well below the current price, so even if a recovery attempt occurs, it may face resistance. Therefore, the downward movement is expected to persist in the short term.

The news headline indicates that the Federal Reserve's hawkish stance is putting pressure on gold prices, leading to a significant monthly decline. Technical indicators support this view: the RSI is weak at 45, the MACD is below the signal line and in negative territory, and the price is trading below both the 20-day and 50-day moving averages. In the short term, selling pressure is likely to persist, but since the asset has not yet entered oversold territory, the pace of the decline may remain limited. Investors are advised to remain cautious and wait for a potential recovery signal.