XAUUSD STRONGINTRO Current Status
1.Gold prices fall despite stronger US Dollar amid economic slowdown signs.
2.US ISM Manufacturing PMI remains in contraction; employment sub-component improvement offers market some relief.
3.Despite a drop in 10-year Treasury yields to 3.84%, Gold only briefly recovers after dipping to $2,473.
Gold price is upwardly biased, even though momentum shifted in sellers’ favor and opened the door for a drop to $2,470. The Relative Strength Index (RSI) hints that buyers are in charge, but in the near term the yellow metal could weaken.
In that event, if XAU/USD drops below $2,500, the next support would be the August 22 low at $2,470. Once surpassed, the next stop would be the confluence of the August 15 swing low and the 50-day Simple Moving Average (SMA) near the $2,427-$2,431 area.
