XAUUSD ANALYSIS OVER H4 CHART.
Gold Price Forecast: XAU/USD maintains focus on $2,277 and the Fed and highly significant US CPI
The price of gold is holding onto its two-day surge and defending the $2,300 mark early on Wednesday. Amidst the customary market caution before of the crucial US Federal Reserve (Fed) interest rate decision and the US inflation data release, gold dealers choose to stay out of the market.
The price of gold has entered a consolidative phase, as can be seen on the daily chart, after breaking below the crucial confluence support zone at $2,350. The 21-day and 50-day Simple Moving Averages (SMAs) are in close proximity at that point.
The 14-day Relative Strength Index (RSI), which is presently at 45.50 and below the 50 threshold, has once again gone downward, indicating that the dangers to the downside for the price of gold continue.
The $2,300 barrier is now the area of immediate support; a drop below this level would put the $2,277 low from May 3 in jeopardy. For the decline to resume, there must be a persistent breach below the latter.
This next crucial support is situated at the psychological barrier of $2,250. If there are any more drops, the 100-day SMA at $2,220 may be tested.
Alternatively, the price of gold must rise over the previously indicated significant confluence support that has since turned into resistance, which is located around $2,350.
Then, when they move toward the June 7 high, gold purchasers will stretch their biceps for the May 24 high of $2,364.
The price of gold is holding onto its two-day surge and defending the $2,300 mark early on Wednesday. Amidst the customary market caution before of the crucial US Federal Reserve (Fed) interest rate decision and the US inflation data release, gold dealers choose to stay out of the market.
The price of gold has entered a consolidative phase, as can be seen on the daily chart, after breaking below the crucial confluence support zone at $2,350. The 21-day and 50-day Simple Moving Averages (SMAs) are in close proximity at that point.
The 14-day Relative Strength Index (RSI), which is presently at 45.50 and below the 50 threshold, has once again gone downward, indicating that the dangers to the downside for the price of gold continue.
The $2,300 barrier is now the area of immediate support; a drop below this level would put the $2,277 low from May 3 in jeopardy. For the decline to resume, there must be a persistent breach below the latter.
This next crucial support is situated at the psychological barrier of $2,250. If there are any more drops, the 100-day SMA at $2,220 may be tested.
Alternatively, the price of gold must rise over the previously indicated significant confluence support that has since turned into resistance, which is located around $2,350.
Then, when they move toward the June 7 high, gold purchasers will stretch their biceps for the May 24 high of $2,364.
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