GOLD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- Gold trades below the 50-day EMA at 2,653.37, indicating weak bullish momentum and downside risk.

- Immediate support stands at 2,638.72; a break below could lead to declines toward 2,632.38.

- Stronger U.S. economic data and a robust dollar continue to exert downward pressure on gold.

Gold (XAU/USD) continues to trade under pressure, declining 0.22% to hover around 2,643.68. The yellow metal’s current price action reflects indecisiveness as it remains within a tight consolidation range between 2,638.72 and 2,658.54. This neutral stance is a direct result of stronger-than-expected U.S. payroll data, which has boosted the dollar and U.S. Treasury yields, consequently putting downward pressure on gold.

Technical Overview: On the 4-hour chart, gold is trading slightly below its 50-day Exponential Moving Average (EMA) of 2,653.37, indicating a lack of bullish momentum. The Relative Strength Index (RSI) sits at 43, suggesting moderate bearish sentiment but with room for a potential rebound.

If gold prices break below immediate support at 2,638.72, it could pave the way for further declines towards 2,632.38 and possibly 2,624.84. Conversely, holding above 2,643.68 could encourage a retest of the 2,652.40 pivot point, followed by resistance levels at 2,658.54 and 2,666.35.

Conclusion: Given the bearish undertone, selling below 2,649 seems prudent, with a take profit target set at 2,635 and a stop loss at 2,656. Traders should monitor price action around the key support level of 2,638.72, as a sustained move below this level could trigger a more substantial sell-off.

GOLD (XAU/USD) - Trade Ideas

Entry Price – Sell Below 2649

Take Profit – 2635

Stop Loss – 2656

Risk to Reward – 1: 2

Profit & Loss Per Standard Lot = +$1400/ -$700

Profit & Loss Per Mini Lot = +$140/ -$70