Fed Minutes: Rate Hikes Could Be on the Table if Inflation Doesn't Fall

The DXY is in oversold territory with an RSI of 18 and has declined 0.86% in 24 hours, suggesting that selling pressure may continue in the short term. The hawkish tone in the Fed minutes could support the dollar in the near term, but current technical weakness and the price trading below the SMA20 and SMA50 may limit upside movement. The MACD is in negative territory and below the signal line, confirming that momentum remains downward. Therefore, the bearish trend is likely to persist over a 1-3 day horizon, although oversold conditions could trigger corrective buying. Overall, downward movement is expected to continue in the short term, but the pace of decline may slow given that a strong support level is nearby.

The hawkish tone of the Fed minutes could reinforce expectations of a rate hike, thereby dampening risk appetite. Technical indicators also point to weakness, with the RSI at 40 and the price trading below both the 20-day and 50-day moving averages. The MACD is in negative territory and below its signal line, indicating downward short-term momentum. The 0.86% decline at the last close is an early signal that selling pressure may persist. However, as the market has not yet entered oversold territory, the decline is likely to remain limited and find support in the 7650-7700 range.

The possibility of a rate hike mentioned in the Fed minutes could exert pressure on the market. The NDX index is already in a short-term downtrend, and with RSI at 34.9, it is near oversold territory, but momentum remains negative. MACD values are also giving a sell signal, and the price is below both the 20-day and 50-day moving averages. This news reinforces the existing weakness, increasing the likelihood of continued decline in the short term. However, due to oversold conditions, a technical rebound may occur, so the confidence level is kept moderate.

The possibility of a rate hike mentioned in the Fed minutes can be seen as a negative signal for gold prices. This news may reduce investors' demand for safe-haven assets and create selling pressure on GLD. Technical indicators show the RSI approaching overbought territory at 68, increasing the likelihood of a short-term correction. However, the positive MACD and price action above the SMA suggest that any decline may be limited. Therefore, a slight pullback can be expected in the short term.