GOLD → Correction ahead of PPI before falling to $2470

7 days ago

XAUUSD on the news continues its bearish rally. The price is breaking the structure of 2547. A false breakdown and counter-trend correction may form before PPI and Powell's speech...



Demand for the dollar rises at the expense of gold. Trump-led euphoria continues to support the index despite relatively weak CPI data and the stance of Fed policymakers. In the medium term, the focus is on the next Fed rate meeting. The most likely scenario is a 0.25% rate cut.
Bulls in gold are likely to have to reassess their medium-term targets as the dollar's rise caused by Trump's trade is outweighed despite the Fed's relatively dovish stance.
For today, all eyes are on Powell's speech and PPI and jobless claims.
Technically, gold is testing the important level of 2546 as part of a strong decline. A false breakdown and correction is possible.

Resistance levels: 2577, 2589, 2595
Support levels: 2546, 2531, 2500

Before the news, a rebound to the imbalance zone or local resistance may be formed in the hope to win back the losing positions of those who have not yet managed to leave the market. I expect that after the correction the price will continue its decline.

Rate, share your opinion and questions, let's discuss what's going on with ★ XAUUSD ;)

Regards R. Linda!

6 days ago

Trade active

The price reaches a zone from which it can start to fall