GOLD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bullish Channel Holds: Gold maintains upward momentum, pivoting above $2,676 with targets at $2,704 and $2,719.
- RSI Near Overbought: RSI at 66 hints at possible consolidation, but bullish sentiment persists.
- Entry Strategy: Buy above $2,680, with a target of $2,703 and stop-loss at $2,669 for optimized risk management.
Gold (XAU/USD) trades at $2,695.49, up 0.05%, holding its position within a steady upward trend on the 4-hour chart. The immediate pivot point at $2,676.07 underscores a critical threshold for maintaining bullish momentum.
Resistance levels are marked at $2,704.36 and $2,719.93, with a break above these thresholds paving the way for continued gains. On the downside, immediate support lies at $2,656.82, followed by deeper support zones at $2,643.45 and $2,627.40, which could be tested if selling pressure intensifies.
The RSI at 66 indicates mildly overbought conditions, suggesting the potential for short-term consolidation before a renewed move higher. The 50 EMA at $2,656.89 reinforces the bullish outlook, acting as a strong support level.
From a strategic perspective, traders may consider entering long positions above $2,680, with a target of $2,703 and a stop-loss at $2,669. This setup balances risk and reward, capitalizing on sustained buying momentum within the channel.
GOLD (XAU/USD) - Trade Ideas
Entry Price – Buy Above 2680
Take Profit – 2703
Stop Loss – 2669
Risk to Reward – 1: 2
Profit & Loss Per Standard Lot = +$2300/ -$1100
Profit & Loss Per Mini Lot = +$230/ -$110
GOLD Price Analysis – Dec 11, 2024
Daily Price Outlook
Gold prices (XAU/USD) struggled to maintain upward momentum near $2,680 and slid to an intra-day low of $2,675, pressured by a stronger US dollar.
Traders are now awaiting the release of the US November Consumer Price Index (CPI) data, expected later in the North American session, for further market cues.
Meanwhile, geopolitical tensions, such as the ongoing Russia-Ukraine war and unrest in the Middle East, continue to bolster gold’s status as a safe-haven asset.
Furthermore, concerns about potential tariff policies under President-elect Donald Trump are adding to market uncertainty, further supporting gold’s appeal as a hedge.
Stronger US Dollar and Economic Data Pressure Gold Amid CPI and Fed Decision Uncertainty
On the US front, the broad-based US dollar has gained strength ahead of the release of November's Consumer Price Index (CPI) data, due later in the North American session.
Analysts expect inflation to rise to 2.7% year-over-year (YoY) in November, slightly up from 2.6% in October.
Core CPI, which excludes food and energy, is predicted to remain steady at a 3.3% YoY increase.
If inflation shows signs of slowing, it could reduce the chances of a Federal Reserve (Fed) rate cut, providing additional support to the US dollar.
Market participants are closely watching the Fed’s next move, with traders currently estimating an 85.8% likelihood of a 25-basis-point rate cut on December 18, according to the CME FedWatch Tool.
Adding to the dollar’s momentum, the US November Non-Farm Payrolls (NFP) report showed a strong 227,000 job gain, surpassing expectations, along with steady wage growth of 0.4% month-over-month.
These solid labor market indicators add complexity to the Fed’s decision-making as inflation data becomes a key focus.
Therefore, the stronger US dollar and robust economic data weigh on gold prices, as they reduce gold's appeal as a safe-haven asset.
However, uncertainty surrounding the upcoming CPI data and Fed decisions could keep gold supported amid market volatility.
GOLD (XAU/USD) – Technical Analysis
Gold (XAU/USD) trades at $2,695.49, up 0.05%, holding its position within a steady upward trend on the 4-hour chart. The immediate pivot point at $2,676.07 underscores a critical threshold for maintaining bullish momentum.
Resistance levels are marked at $2,704.36 and $2,719.93, with a break above these thresholds paving the way for continued gains.
On the downside, immediate support lies at $2,656.82, followed by deeper support zones at $2,643.45 and $2,627.40, which could be tested if selling pressure intensifies.
The RSI at 66 indicates mildly overbought conditions, suggesting the potential for short-term consolidation before a renewed move higher. The 50 EMA at $2,656.89 reinforces the bullish outlook, acting as a strong support level.
From a strategic perspective, traders may consider entering long positions above $2,680, with a target of $2,703 and a stop-loss at $2,669. This setup balances risk and reward, capitalizing on sustained buying momentum within the channel.
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GOLD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bullish Momentum: Sustained above $2,658.36, targeting $2,688.97 and $2,704.36.
- Support Levels: Immediate support at $2,646.20; deeper at $2,617.67.
- RSI & EMA: RSI at 65 signals robust buying; 50 EMA at $2,647.36 reinforces short-term support.
Gold (XAU/USD) is trading at $2,668.80, up 0.31%, maintaining a bullish stance above its pivot point at $2,658.36. The 4-hour chart reflects strong upward momentum, supported by the 50-day EMA at $2,647.36, which serves as a robust near-term support level.
The Relative Strength Index (RSI) at 65 indicates sustained buying interest but warns of approaching overbought territory, suggesting possible consolidation ahead.
Immediate resistance is observed at $2,676.72, with further hurdles at $2,688.97 and $2,704.36. These levels present critical milestones for continued bullish momentum.
On the downside, immediate support is situated at $2,646.20, with deeper safety nets at $2,635.36 and $2,617.67. A break below these levels could trigger increased selling pressure, potentially challenging the broader bullish outlook.
The price action reflects a well-defined upward trajectory, driven by geopolitical uncertainty and renewed interest in gold as a safe-haven asset.
A sustained break above $2,676.72 would solidify the bullish narrative, targeting $2,688.97 as the next key level. Conversely, a failure to hold $2,658.36 could signal a bearish retracement, testing immediate support zones.
Gold traders should closely monitor resistance at $2,688.97 and RSI levels to anticipate potential reversals. A cautious approach is advised, with strategic entries above $2,658 and stops placed at $2,646 to manage risk effectively.
GOLD (XAU/USD) - Trade Ideas
Entry Price – Buy Above 2658
Take Profit – 2680
Stop Loss – 2646
Risk to Reward – 1: 1.8
Profit & Loss Per Standard Lot = +$2200/ -$1200
Profit & Loss Per Mini Lot = +$220/ -$120
GOLD Price Analysis – Dec 10, 2024
Daily Price Outlook
Gold prices (XAU/USD) lost some of their intraday gains but remained supported around the $2,663 level, having reached a high of $2,673 earlier.
The recent upward movement can largely be attributed to growing concerns in the global landscape, especially amid the ongoing Russia-Ukraine war and political instability in South Korea and France. These uncertainties have pushed investors toward safe-haven assets like gold.
Meanwhile, the US Dollar has gained some strength, bouncing back from a nearly one-month low after the positive Non-Farm Payroll (NFP) data.
There’s also speculation that the Federal Reserve will take a cautious approach to interest rate cuts, which has somewhat pressured gold’s rise.
On the other hand, China’s central bank resumed gold purchases after a seven-month pause, adding further support.
Additionally, the expectation that the Fed will lower interest rates later this month is keeping US Treasury yields suppressed, helping to limit any significant downside for gold.
China's Economic Confidence and Gold Buying Boost Market Stability
On the China front, the central bank's decision to resume gold buying for the first time in seven months is expected to provide strong support to gold prices, which are seen as a safe-haven asset.
This move, along with positive economic signals from China, has boosted investor confidence. Chinese President Xi Jinping stated on Tuesday that China is fully confident in meeting its economic targets for the year.
He also reassured the world that China will continue to be the biggest driver of global economic growth. His comments aimed to calm concerns about China’s economic slowdown, emphasizing that the country’s role in the global economy remains vital.
In addition, China’s trade balance showed a positive trend, expanding to CNY 692.8 billion in November, up from the previous month’s CNY 679.1 billion.
Exports grew by 1.5% year-over-year in November, although this was slower than October’s 11.2% increase. Imports also rose by 1.2% YoY, recovering from a 3.7% drop earlier.
Xi Jinping further stressed that there would be no winners in tariff, trade, or tech wars, highlighting China’s stance on avoiding conflict in these areas and seeking peaceful economic growth.
These developments have helped maintain stability in the market, supporting both the Chinese economy and gold prices.
USD Gains Momentum Ahead of CPI Data and Fed Rate Cut Speculations
On the US front, the US Dollar (USD) is on a three-day winning streak as traders remain cautious ahead of the US Consumer Price Index (CPI) data release on Wednesday.
The market is closely watching the data, as it could influence the Federal Reserve’s next move on interest rates. Currently, traders are betting on an 85.8% chance that the Fed will lower rates by 25 basis points on December 18, based on the CME FedWatch Tool.
The recent US jobs report for November showed strong growth, with 227,000 new jobs added, far surpassing expectations. Additionally, Average Hourly Earnings grew by 0.4% month-over-month, showing steady wage growth.
These positive employment figures have added to the anticipation of a rate cut by the Fed, but traders are waiting for the CPI data to get more clarity on future monetary policy.
GOLD (XAU/USD) – Technical Analysis
Gold (XAU/USD) is trading at $2,668.80, up 0.31%, maintaining a bullish stance above its pivot point at $2,658.36. The 4-hour chart reflects strong upward momentum, supported by the 50-day EMA at $2,647.36, which serves as a robust near-term support level.
The Relative Strength Index (RSI) at 65 indicates sustained buying interest but warns of approaching overbought territory, suggesting possible consolidation ahead.
Immediate resistance is observed at $2,676.72, with further hurdles at $2,688.97 and $2,704.36. These levels present critical milestones for continued bullish momentum.
On the downside, immediate support is situated at $2,646.20, with deeper safety nets at $2,635.36 and $2,617.67. A break below these levels could trigger increased selling pressure, potentially challenging the broader bullish outlook.
The price action reflects a well-defined upward trajectory, driven by geopolitical uncertainty and renewed interest in gold as a safe-haven asset.
A sustained break above $2,676.72 would solidify the bullish narrative, targeting $2,688.97 as the next key level. Conversely, a failure to hold $2,658.36 could signal a bearish retracement, testing immediate support zones.
Gold traders should closely monitor resistance at $2,688.97 and RSI levels to anticipate potential reversals. A cautious approach is advised, with strategic entries above $2,658 and stops placed at $2,646 to manage risk effectively.
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GOLD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Key Levels in Focus: Holding above $2,635.82 keeps the bullish outlook intact, targeting $2,666.85 and beyond.
- Technical Indicators: RSI at 53 and price above the 50 EMA signal short-term bullish momentum.
- Trading Strategy: Buy above $2,635 with a target of $2,666 and a stop loss at $2,621 for disciplined risk management.
Gold (XAU/USD) is trading at $2,644.26, up 0.42%, maintaining its bullish momentum above the pivot point of $2,635.82. The 50-day EMA at $2,642.45 aligns closely with the price, reinforcing a short-term bullish bias.
Immediate resistance is observed at $2,666.85, followed by $2,688.97 and $2,707.52, indicating potential upside if momentum sustains.
On the downside, immediate support is situated at $2,617.61, with additional safety nets at $2,595.99 and $2,575.78.
The RSI at 53 signals neutral momentum, providing room for further gains without entering overbought territory.
A break below $2,635.82 could challenge the bullish structure, but maintaining above this level keeps the focus on upward targets.
Traders should monitor the $2,666.85 resistance closely, as a breach could accelerate gains toward $2,688.97. Conversely, a move below $2,617.61 could attract selling pressure, targeting lower supports.
Current market sentiment suggests a cautious yet optimistic outlook, driven by technical stability and broader macroeconomic factors.
GOLD (XAU/USD) - Trade Ideas
Entry Price – Buy Above 2635
Take Profit – 2666
Stop Loss – 2621
Risk to Reward – 1: 2.2
Profit & Loss Per Standard Lot = +$3100/ -$1400
Profit & Loss Per Mini Lot = +$310/ -$140
GOLD Price Analysis – Dec 09, 2024
Daily Price Outlook
Gold price (XAU/USD) extended its early-day bullish rally and drew further bids around the $2,642 level, hitting an intra-day high of $2,650.
The rally is mainly linked to expectations surrounding the Federal Reserve’s monetary policy, as Friday’s US Nonfarm Payrolls (NFP) report strengthened hopes for a rate cut in December, keeping US Treasury bond yields in check and boosting gold’s appeal.
Furthermore, the ongoing geopolitical tensions and political instability in South Korea, along with concerns about a trade war, have strengthened gold's appeal as a safe-haven asset.
In contrast to this, the hopes surrounding Trump's expansionary policies could lead to inflation, prompting the Fed to adopt a less dovish stance. This may limit gold's gains, as rising rates reduce its appeal as a non-yielding asset.
Gold Gains Support from Weakened US Dollar and Global Economic Uncertainty
On the US front, there are no Federal Reserve (Fed) speakers this week due to the media blackout, so all attention is on the US economic data.
On the data front, US Nonfarm Payrolls (NFP) data, released last Friday, showed a strong increase of 227,000 jobs in November, far above the revised 36,000 in October and exceeding expectations of 200,000. However, the Unemployment Rate rose slightly to 4.2% from 4.1% in October.
Despite the stronger job growth, financial markets are now pricing in a 70% chance of a 25 basis point rate cut by the Federal Reserve at its December 17-18 meeting, following a series of comments from Fed officials who noted that while the labor market is cooling, it remains healthy.
However, the US dollar dropped after the NFP data, reflecting concerns over a possible rate cut. This reaction indicates that investors are betting on the Fed lowering rates soon, which would likely impact the value of the Greenback.
Therefore, the recent labor market data showed strong growth but also pointed to a slight increase in unemployment, signaling some softening in the economy. As a result, the outlook for the US Dollar will depend on upcoming economic data and the Fed’s policy stance on interest rates.
On the other hand, China’s National Bureau of Statistics (NBS) released inflation data for November. The country’s Consumer Price Index (CPI) rose year-on-year but saw the smallest increase in five months, mainly due to lower travel demand and warmer weather.
Meanwhile, China’s Producer Price Index (PPI) showed signs of improvement, reversing its decline from the previous month and narrowing its year-on-year drop. Core CPI, excluding food and energy, continued to rise, indicating steady underlying inflation pressures.
Hence, the mixed US labor market data and Fed rate cut expectations weakened the US Dollar, supporting gold as a safe-haven asset. Meanwhile, China's improving PPI and steady core inflation suggest economic stability, further boosting gold's appeal amid global uncertainties.
GOLD (XAU/USD) – Technical Analysis
Gold (XAU/USD) is trading at $2,644.26, up 0.42%, maintaining its bullish momentum above the pivot point of $2,635.82. The 50-day EMA at $2,642.45 aligns closely with the price, reinforcing a short-term bullish bias.
Immediate resistance is observed at $2,666.85, followed by $2,688.97 and $2,707.52, indicating potential upside if momentum sustains.
On the downside, immediate support is situated at $2,617.61, with additional safety nets at $2,595.99 and $2,575.78.
The RSI at 53 signals neutral momentum, providing room for further gains without entering overbought territory.
A break below $2,635.82 could challenge the bullish structure, but maintaining above this level keeps the focus on upward targets.
Traders should monitor the $2,666.85 resistance closely, as a breach could accelerate gains toward $2,688.97. Conversely, a move below $2,617.61 could attract selling pressure, targeting lower supports.
Current market sentiment suggests a cautious yet optimistic outlook, driven by technical stability and broader macroeconomic factors.
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GOLD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Critical Levels: Pivot at $2,644.33; resistance at $2,666.85; support at $2,617.61.
- RSI at 50: Neutral momentum signals a balance between buyers and sellers.
- Technical Setup: A move above $2,644.33 may spark bullish momentum; below $2,617.61 risks deeper declines.
Gold (XAU/USD) is trading at $2,638.45, down 0.24% in the session, reflecting cautious sentiment as the price hovers below the critical pivot point at $2,644.33.
Technical indicators point to a neutral bias, with the Relative Strength Index (RSI) at 50, suggesting equilibrium between buyers and sellers.
Immediate resistance is seen at $2,666.85, followed by $2,688.97 and $2,707.52, which represent significant hurdles for bullish momentum.
On the downside, support levels are positioned at $2,617.61, $2,595.99, and $2,575.78, marking areas to watch for potential bearish pressure. The 50-day EMA at $2,641.72 reinforces short-term resistance near the pivot, indicating a key zone for directional shifts.
Traders should monitor the $2,644.33 pivot closely. A sustained move above this level could target resistance at $2,666.85, validating a bullish breakout. Conversely, a break below $2,617.61 may trigger further declines, with $2,595.99 as the next support level.
GOLD (XAU/USD) - Trade Ideas
Entry Price – Buy Above 2626
Take Profit – 2666
Stop Loss – 2606
Risk to Reward – 1: 2
Profit & Loss Per Standard Lot = +$4000/ -$2000
Profit & Loss Per Mini Lot = +$400/ -$200
GOLD Price Analysis – Dec 06, 2024
Daily Price Outlook
Gold price (XAU/USD) maintained its upward rally and drew some further bid around the $2,639 level, hitting an intra-day high of $2,645. The reason for this upward trend can be attributed to anticipation surrounding the upcoming US Nonfarm Payrolls (NFP) data for November, which is set to be released at 13:30 GMT.
Traders are keenly awaiting this key data to gauge the direction of US interest rates, as it could provide further insights into the Federal Reserve's actions at its policy meeting on December 18.
At the same time, geopolitical tensions are helping gold price, with the situation in the Middle East escalating. The ceasefire between Israel and Hezbollah appears weak, as both sides accuse each other of breaching the truce. This uncertainty continues to support gold’s safe-haven appeal, adding volatility to the precious metal’s price.
US Economic Data and Fed Rate Cut Expectations Boost Gold's Appeal
On the US front, the broad-based US dollar, as measured by the US Dollar Index (DXY), has been holding strong at the key support level of 105.70. This comes ahead of the highly anticipated US Nonfarm Payrolls (NFP) data, due for release at 13:30 GMT.
Investors are closely watching this data to gain insights into the future direction of US interest rates, particularly with the Federal Reserve’s (Fed) policy meeting scheduled for December 18.
There is a 72% chance that the Fed will cut interest rates by 25 basis points (bps) to 4.25%-4.50%, according to the CME FedWatch tool. Lower interest rates are generally positive for gold, as they reduce the opportunity cost of holding the precious metal.
Economists expect the US economy to have added 200,000 jobs in November, a sharp rise from the 12,000 added in October, which was affected by hurricanes. The unemployment rate is expected to tick up slightly to 4.2% from 4.1%.
Investors are also paying close attention to the Average Hourly Earnings data, which is forecasted to have increased by 3.9% year-on-year, slower than the 4% growth seen in October. This could give further clues about wage growth and inflationary pressures.
Consequently, the anticipation of a 25 basis point rate cut by the Fed could boost gold prices, as lower interest rates make holding gold more attractive by reducing the opportunity cost. Strong job growth and slower wage growth could further support gold's appeal.
Geopolitical Tensions Drive Demand for Gold as a Safe-Haven Asset
On the geopolitical front, tensions in the Middle East are escalating as the ceasefire agreement between Israel and Hezbollah begins to unravel. Both sides are accusing each other of violating the truce terms.
The Israeli military launched a series of airstrikes on Hezbollah in response to an attack, where two projectiles targeted an Israeli military post near Lebanon. This renewed conflict is adding to the region’s instability, with the potential to cause further volatility.
At the same time, the ongoing war between Russia and Ukraine continues to heighten global uncertainty.
Russian Foreign Minister Sergey Lavrov recently warned that Russia would use all available means to prevent the West from achieving its goal of a “strategic defeat” of the country.
This statement adds to the already tense situation, as the war shows no signs of de-escalating, keeping investors on edge.
These heightened geopolitical risks contribute to a growing sense of uncertainty around the world, which boosts the appeal of safe-haven assets like gold.
GOLD (XAU/USD) – Technical Analysis
Gold (XAU/USD) is trading at $2,638.45, down 0.24% in the session, reflecting cautious sentiment as the price hovers below the critical pivot point at $2,644.33.
Technical indicators point to a neutral bias, with the Relative Strength Index (RSI) at 50, suggesting equilibrium between buyers and sellers.
Immediate resistance is seen at $2,666.85, followed by $2,688.97 and $2,707.52, which represent significant hurdles for bullish momentum.
On the downside, support levels are positioned at $2,617.61, $2,595.99, and $2,575.78, marking areas to watch for potential bearish pressure. The 50-day EMA at $2,641.72 reinforces short-term resistance near the pivot, indicating a key zone for directional shifts.
Traders should monitor the $2,644.33 pivot closely. A sustained move above this level could target resistance at $2,666.85, validating a bullish breakout. Conversely, a break below $2,617.61 may trigger further declines, with $2,595.99 as the next support level.
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GOLD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Breakout Potential: Symmetrical triangle pattern suggests potential for a move above $2,666.19 or below $2,639.81.
- Resistance Levels: Key resistances at $2,666.19, $2,686.65, and $2,704.46 could cap upward momentum.
- Support Levels: Downside risk targets include $2,621.48, $2,604.95, and $2,586.53, should bearish sentiment prevail..
Gold (XAU/USD) is trading at $2,645.99, down 0.17% during the session, reflecting a cautious sentiment as the price remains slightly below its pivot point at $2,639.81. This indicates a neutral to bearish outlook in the short term, with traders watching for a breakout or sustained directional move.
Immediate resistance is located at $2,666.19, with subsequent levels at $2,686.65 and $2,704.46. On the downside, support rests at $2,621.48, with additional levels at $2,604.95 and $2,586.53.
Technical indicators suggest a mixed outlook. The Relative Strength Index (RSI) at 53 indicates neutral momentum, while the 50-day EMA at $2,646.06 aligns closely with the current price, acting as a short-term resistance.
A symmetrical triangle pattern signals potential for a breakout, with a move above $2,666.19 likely triggering bullish momentum toward higher resistance levels. Conversely, failure to hold above $2,639.81 could invite selling pressure, targeting key support at $2,621.48.
Traders should monitor market sentiment and global economic data for further cues. Entry is recommended above $2,640, targeting $2,666, with a stop-loss set at $2,625 to mitigate downside risk.
GOLD (XAU/USD) - Trade Ideas
Entry Price – Buy Above 2640
Take Profit – 2666
Stop Loss – 2625
Risk to Reward – 1: 1.7
Profit & Loss Per Standard Lot = +$2600/ -$1500
Profit & Loss Per Mini Lot = +$260/ -$150
GOLD Price Analysis – Dec 05, 2024
Daily Price Outlook
Gold prices (XAU/USD) are struggling to find a clear direction due to mixed factors. However, the geopolitical risks from the Russia-Ukraine conflict, trade wars, and political instability in France and South Korea are supporting gold as a safe-haven asset.
Apart from this, the weaker US dollar also helps, but expectations for the Federal Reserve to take a less dovish stance are keeping gold from rising too much.
Although, the comments from Fed officials suggest they won’t rush to cut rates, which is limiting gold’s gains. Traders are waiting for the US Nonfarm Payrolls (NFP) report on Friday for more direction.
Mixed US Economic Signals and Global Risks Weigh on Gold Prices
On the US front, the broad-based US sollar has struggled to gain traction despite some positive signals from the Federal Reserve. The Beige Book revealed that US economic activity grew slightly in most regions, with inflation rising modestly.
Fed Chair Jerome Powell highlighted the economy’s strength, which exceeded expectations, suggesting the Fed could slow its pace of rate cuts.
Similarly, San Francisco Fed President Mary Daly noted no urgency for rate reductions, emphasizing the need to focus on achieving the 2% inflation target and steady growth. Markets are now pricing in a 77.5% chance of a December rate cut but remain cautious.
Meanwhile, US bond yields rebounded slightly after recent lows, putting some pressure on non-yielding assets like Gold. Speculation about President-elect Donald Trump’s policies potentially driving inflation adds to expectations that the Fed may pause or even reverse its rate cuts.
However, weaker-than-expected US economic data, such as the ISM Services PMI and S&P Global Composite PMI, reflects some slowing momentum, keeping the market outlook uncertain.
Traders are now closely watching upcoming economic reports for more direction. Thursday’s US Weekly Initial Jobless Claims could provide short-term momentum, but the spotlight remains on Friday’s Nonfarm Payrolls (NFP) report for clearer signals on the economy and Fed policy.
Therefore, the mixed US economic signals, with slower growth and uncertain Fed actions, put downward pressure on Gold due to rising bond yields. However, ongoing concerns about global trade wars and inflation risks continue to support Gold as a safe-haven asset.
GOLD (XAU/USD) – Technical Analysis
Gold (XAU/USD) is trading at $2,645.99, down 0.17% during the session, reflecting a cautious sentiment as the price remains slightly below its pivot point at $2,639.81. This indicates a neutral to bearish outlook in the short term, with traders watching for a breakout or sustained directional move.
Immediate resistance is located at $2,666.19, with subsequent levels at $2,686.65 and $2,704.46. On the downside, support rests at $2,621.48, with additional levels at $2,604.95 and $2,586.53.
Technical indicators suggest a mixed outlook. The Relative Strength Index (RSI) at 53 indicates neutral momentum, while the 50-day EMA at $2,646.06 aligns closely with the current price, acting as a short-term resistance.
A symmetrical triangle pattern signals potential for a breakout, with a move above $2,666.19 likely triggering bullish momentum toward higher resistance levels. Conversely, failure to hold above $2,639.81 could invite selling pressure, targeting key support at $2,621.48.
Traders should monitor market sentiment and global economic data for further cues. Entry is recommended above $2,640, targeting $2,666, with a stop-loss set at $2,625 to mitigate downside risk.
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