Technical analysis by Veraa_Queen about Symbol PAXG: Buy recommendation (12/13/2023)

Gold price (XAU/USD) reverses an early European session dip to over a three-week low and climbs back above the $1,982 level in the last hour. Any meaningful appreciating move, however, still seems elusive amid the uncertainty over the Federal Reserve's (Fed) near-term policy outlook, which might hold back traders from placing aggressive directional bets. Hence, the focus will remain glued to the outcome of the highly-anticipated FOMC policy meeting, scheduled to be announced later today. In the meantime, a stick inflation report from the United States (US) released on Tuesday, along with Friday's mostly upbeat employment details, forced traders to bet that it could take the Fed until May to begin a series of interest-rate cuts next year. This, in turn, assists the US Dollar (USD) to regain positive traction and should act as a headwind for the non-yielding Gold price. Apart from this, the risk-on environment might further contribute to capping gains for the safe-haven precious metal.Trade closed: target reached