Daily Price Outlook

The gold price has exhibited initial positive movement from today's opening, positioning itself for an anticipated examination of the resistance within the bearish channel. This trajectory is influenced by the current positive momentum of the stochastic indicator, suggesting a potential resumption of the bearish trend, with its next focal point projected around the $1873.50 mark.

The prevailing negative influence originating from the EMA50 reinforces the projected bearish wave. It's worth noting that, should the price manage to surpass the $1895.00 threshold, this could trigger additional upward momentum, potentially leading to a test of the noteworthy resistance at $1913.15, prior to any subsequent attempts at decline. The anticipated trading range for the day spans between the support at $1873.50 and the resistance at $1900.00.

In terms of the expected trend for today, a bearish sentiment is anticipated to persist.

GOLD (XAU/USD) - Trade Idea

Entry Price – Sell Below 1893

Take Profit – 1882

Stop Loss – 1898

Risk to Reward – 1: 2

Profit & Loss Per Standard Lot = +$1100/ -$500

Profit & Loss Per Micro Lot = +$110/ -$50

Daily Price Outlook

Gold (XAU/USD) price has been on a decline lately, hitting its lowest point in five months. However, the reason behind this dip is that many investors are turning to the US Dollar as a safe haven due to uncertainties surrounding important events and data scheduled for this week. Adding to the downward pressure on the XAU/USD is the negative sentiment surrounding China, a major consumer of commodities. Despite this recent decline, it's worth noting that the gold price is still holding above its key support level of $1,700 per ounce.

This could indicate that the sellers might be losing their grip, potentially setting the stage for a rebound in the near future. The upcoming economic data and events from the US could play a significant role in steering the direction of the gold price.

China's Economic Woes Weigh on Gold Prices

China holds a significant position as one of the globe's largest users of commodities, which means that any concerns about its economy can send waves through various markets, including impacting the price of gold. In recent months, China has faced a series of hurdles such as a slowdown in economic expansion, trade tensions with the US, and a challenging property situation. These issues have cast a shadow over investor confidence and have contributed to the dip in gold prices.

According to the latest news, the People's Bank of China (PBoC) recently made a significant move. On Monday, they decided to lower the one-year Loan Prime Rate (LPR) by 10 basis points, bringing it down from the previous 3.55% to a new rate of 3.45%. Simultaneously, they opted to maintain the five-year LPR at a steady level of 4.2%. This decision comes in the midst of ongoing challenges within China's property sector, sluggish consumer spending, and a noticeable decline in credit growth. Consequently, China's economic recovery has hit a bit of a stumbling block.

The PBoC's decision to lower the one-year Loan Prime Rate reflects concerns about China's economic challenges. As these difficulties persist, the move might alleviate pressure on gold prices by signaling potential government intervention to stimulate the economy, thereby influencing market sentiment and curbing potential declines.

US Dollar Strength Underscores Gold's Weakness

The US dollar is often considered a safe-haven choice, and when it gains strength, it tends to put pressure on gold prices. This is because gold is viewed as riskier compared to the dollar. Lately, the US dollar has been on the rise, influenced by factors like the Federal Reserve's cautious approach and the ongoing US-China trade tensions.

Federal Open Market Committee (FOMC) meeting showed that inflation is still too high, and officials are really worried about it. They said they might need to raise rates more to get inflation under control and will decide based on new information. This week, everyone's looking forward to Federal Reserve (Fed) Chairman Jerome Powell's talk at the Jackson Hole Symposium.

Apart from this, market watchers will focus on S&P Global Purchasing Managers' Indexes (PMI) figures and central bankers' statements for insights.

GOLD (XAU/USD) - Technical analysis

The gold price has exhibited initial positive movement from today's opening, positioning itself for an anticipated examination of the resistance within the bearish channel. This trajectory is influenced by the current positive momentum of the stochastic indicator, suggesting a potential resumption of the bearish trend, with its next focal point projected around the $1873.50 mark.

The prevailing negative influence originating from the EMA50 reinforces the projected bearish wave. It's worth noting that, should the price manage to surpass the $1895.00 threshold, this could trigger additional upward momentum, potentially leading to a test of the noteworthy resistance at $1913.15, prior to any subsequent attempts at decline. The anticipated trading range for the day spans between the support at $1873.50 and the resistance at $1900.00.

In terms of the expected trend for today, a bearish sentiment is anticipated to persist.

Daily Price Outlook

The gold price continued its downward movement in the previous session, reaching the level of $1885.00. This reinforces the prevailing outlook of a persistent bearish trend, with the subsequent target positioned at $1873.50.

The ongoing bearish wave remains well-defined within a structured bearish channel, consistently upheld by the EMA50. It's noteworthy that a breach above the $1900.00 level would prompt a test of the significant resistance at $1913.15, preceding any potential renewed decline.

Anticipated trading activity for the present day is projected to fluctuate within the range of support at $1873.50 and resistance at $1905.00.

GOLD(XAU/USD) - Trade Idea

Entry Price – Sell Below 1894

Take Profit – 1877

Stop Loss – 1904

Risk to Reward – 1: 1.7

Profit & Loss Per Standard Lot = +$1700/ -$1000

Profit & Loss Per Micro Lot = +$170/ -$100

Daily Price Outlook

The Gold Price (XAU/USD) has taken a pause from its recent decline, breaking away from the lowest levels it reached over the past five weeks. However, the pause in the decline could be attributed to a few factors. Firstly, there's been a decrease in the yields of US Treasury bonds, which tends to support the value of gold.

Furthermore, the US Dollar has been weakening, and this too has played a role in gold's recent uptick. Moreover, there's a sense of optimism surrounding potential stimulus actions from China. This hopeful outlook about China's potential economic support has positively influenced the gold price, contributing to its recent improvement.

However, it's worth noting that US bond yields are still facing pressure, having come very close to hitting a multi-year high just the day before. On a related note, the US Dollar Index (DXY) is finding stability after a streak of four consecutive weeks of gains. This steadying of the US Dollar's performance aligns with the upcoming Jackson Hole Symposium, an annual event where influential central bankers share their insights. The anticipation of this event is playing a role in shaping the current state of the market.

Evergrande's Bankruptcy Filing Sparks Market Concerns, Impact on Gold Price

China's second-largest real estate company, Evergrande, is in big financial trouble due to a lot of debt. They asked a US court for help, worrying about the economy. Some think China might help, calming worries. Gold's price went up a bit but isn't doing well. People who sell gold think it'll drop more, maybe below $1,900. Gold had a small recovery, but won't last. It's not high enough for a big rise. Sellers hope it drops more. Evergrande's problems shook the market, and there's debate about China's support. Gold's brief rise might reverse, giving sellers hope for a bigger fall.

GOLD (XAU/USD) - Technical analysis

The gold price continued its downward movement in the previous session, reaching the level of $1885.00. This reinforces the prevailing outlook of a persistent bearish trend, with the subsequent target positioned at $1873.50.

Anticipated trading activity for the present day is projected to fluctuate within the range of support at $1873.50 and resistance at $1905.00.

Daily Price Outlook

In a comprehensive assessment of gold's market trajectory, the precious metal has demonstrated a pronounced downturn, successfully reaching our initial anticipated benchmark at $1892.00. Currently, gold is exerting pressure on this level, aiming to validate its break beneath it. This augments the likelihood of persisting in a bearish trend, with potential descent aiming towards the subsequent target of $1873.50.

In light of these dynamics, our outlook remains bearish for the foreseeable horizon, underscored by the downward impetus provided by the 50-Day Exponential Moving Average (EMA50). It is paramount to observe that any breach of the $1905.00 level, succeeded by the $1913.15 benchmark, would arrest the anticipated decline, potentially pivoting the metal's trajectory towards an ascent.

For the day's trading landscape, we project gold's valuation to oscillate between a support threshold of $1875.00 and a resistance cap of $1905.00.

GOLD(XAU/USD) - Trade Idea

Entry Price – Sell Below 1897

Take Profit – 1885

Stop Loss – 1906

Risk to Reward – 1: 1.33

Profit & Loss Per Standard Lot = +$1200/ -$900

Profit & Loss Per Micro Lot = +$120/ -$90 

Daily Price Outlook

Gold price (XAU/USD) has been facing selling pressure and touches a fresh multi-month low, dropping below $1,900 level. However, this drop can be attributed to the strong performance of the US Dollar, which is gaining strength due to expectations of additional interest rate increases by the Federal Reserve. Interestingly, despite this situation, the current cautious atmosphere in the market, where investors are favoring safe-haven assets, might provide some support to XAU/USD and help minimize its losses.

US Dollar's Strength Puts Pressure on Gold Amid Inflation Battle

The US Dollar (USD) is steadily gaining strength, all thanks to the strong position taken by the Federal Reserve (Fed). Unfortunately, this is posing a bit of a challenge for Gold prices. In the recent meeting, the Fed's discussions on interest rate hikes showed some differences of opinion, but the main focus remains on taming inflation.

According to the latest data, consumer prices in the US went up slightly in July, as shown by the Consumer Price Index (CPI). Additionally, the Producer Price Index (PPI) also increased, indicating ongoing efforts to manage inflation. Consequently, Gold is finding it challenging due to the USD's strength gaining more attention, which is dimming its usual attractiveness.

Upbeat US Economic Data Weighs Down Gold Amid Rising Treasury Yields

Furthermore, the most recent data on US Retail Sales painted a positive picture, showing strong consumer spending throughout July. The broader economic indicators for the US, such as Housing Starts and Industrial Production, are also robust, underlining the economy's resilience. This, in turn, creates space for potential interest rate increases within the year.

These circumstances contribute to higher US Treasury yields, which in itself reduce the appeal of Gold – a precious metal that doesn't provide interest. Consequently, this surge in the US Dollar weakens demand for commodities like Gold (XAU/USD), intensifying the challenges faced by Gold.

China's Economic Concerns Impact Gold's Outlook

On top of that, concerns about China's deteriorating economy are causing people to shy away from riskier investments. This is reflected in somewhat weaker stock market performance, causing traders to avoid risky bets and turn towards the safety of Gold. This, in a way, does offer some support to Gold prices.

GOLD (XAU/USD) - Technical analysis

In a comprehensive assessment of gold's market trajectory, the precious metal has demonstrated a pronounced downturn, successfully reaching our initial anticipated benchmark at $1892.00. Currently, gold is exerting pressure on this level, aiming to validate its break beneath it. This augments the likelihood of persisting in a bearish trend, with potential descent aiming towards the subsequent target of $1873.50.

In light of these dynamics, our outlook remains bearish for the foreseeable horizon, underscored by the downward impetus provided by the 50-Day Exponential Moving Average (EMA50). It is paramount to observe that any breach of the $1905.00 level, succeeded by the $1913.15 benchmark, would arrest the anticipated decline, potentially pivoting the metal's trajectory towards an ascent.

For the day's trading landscape, we project gold's valuation to oscillate between a support threshold of $1875.00 and a resistance cap of $1905.00.

Daily Price Outlook

 During the previous trading session, gold displayed a distinct downward trajectory, nearing our anticipated target of $1,892. This decline followed a period of fluctuating behavior, during which the price tested a pivotal resistance at $1,913, only to retreat in a bearish manner.

This reinforces the ongoing bearish trend in intraday and short-term perspectives, clearly delineated within the chart's evident bearish channel. We project a further descent toward the $1,874 mark.

Given these factors, our forecast remains bearish for the forthcoming period, with the EMA50 providing additional support for this stance.

This outlook hinges on the price's consistent positioning below the $1,913 threshold. For today, we anticipate a trading corridor with support at $1,885 and resistance capped at $1,915.  

GOLD(XAU/USD) - Trade Idea

Entry Price – Buy Above 1899

Take Profit – 1893

Stop Loss – 1889

Risk to Reward – 1: 1.9

Profit & Loss Per Standard Lot = +$1900/ -$1000

Profit & Loss Per Micro Lot = +$190/ -$100

Daily Price Outlook

Gold price (XAU/USD) failed to stop its previous downward trend and is currently hovering around the $1,901 mark on Wednesday. However, the positive report regarding United States Retail Sales has unexpectedly led to concerns regarding potential tightening of the US Federal Reserve's monetary policy. This, in turn, has exerted downward pressure on the gold.

Another contributing factor to the XAU/USD decline is the recent sluggish performance of riskier assets, including equities, currencies from the Antipodean region, and various commodities. Hence, the combined effect of these downward trends in different sectors appears to have generated a challenging situation for the gold market.

US Economic Strength and Dollar Surge Impact Gold's Prospects

According to the recent news, the US Retail Sales data for July came in stronger than expected. It showed a 0.7% increase, surpassing the earlier reading of 0.3% and even beating the predicted 0.4% by the market experts. This is a sign that the US economy is doing better and getting stronger. This could lead to speculations that the US Federal Reserve could decide to make its monetary policy a bit tighter during their September meeting. If that happens, it might not be as attractive to invest in things like Gold.

Meanwhile, the broad-based US dollar is rising, driven by positive economic data from the United States. This uptrend in the DXY could impact Gold's price, given its inverse relationship with the dollar. Gold, often a safe haven in uncertain times, might lose some shine as the dollar strengthens. This could prompt investors to explore more enticing alternatives, potentially leading to reduced demand for Gold and influencing its price in the market.

China's Economic Concerns Put Pressure on Gold's Value

Furthermore, concerns over China's economic might are pressuring Gold's value. China's central bank's surprise move to cut one-year MLF loans by 15 basis points to 2.50% from 2.65% could intensify downward pressure on Gold prices.

In the meantime, China's July Retail Sales grew only 2.5%, missing the expected 4.8% and the previous 3.1%. Industrial Production also fell short at 3.7%, below the forecasted 4.5% and the prior 4.4%. These factors could contribute to Gold's uncertain value.

Looking ahead, investors watch US July Industrial Production and FOMC meeting minutes. Meanwhile, the signs of future US rate hikes could push Gold below $1,900, as higher rates attract alternatives, affecting Gold's appeal.

GOLD (XAU/USD) - Technical analysis

During the previous trading session, gold displayed a distinct downward trajectory, nearing our anticipated target of $1,892. This decline followed a period of fluctuating behavior, during which the price tested a pivotal resistance at $1,913, only to retreat in a bearish manner.

This reinforces the ongoing bearish trend in intraday and short-term perspectives, clearly delineated within the chart's evident bearish channel. We project a further descent toward the $1,874 mark.

Given these factors, our forecast remains bearish for the forthcoming period, with the EMA50 providing additional support for this stance.

This outlook hinges on the price's consistent positioning below the $1,913 threshold. For today, we anticipate a trading corridor with support at $1,885 and resistance capped at $1,915.  

Daily Price Outlook

The gold price has decisively breached the $1,913.15 level, as evidenced by the daily candlestick's close below this mark. This move has initiated bearish trades, applying pressure towards the $1,900.00 threshold. A further decline is anticipated, with primary targets pinpointed at $1,892.00, and possibly reaching as low as $1,873.50.

The current market sentiment leans towards an ongoing bearish trend in the near term, reinforced by the negative sway of the EMA50 and further highlighted by the manifestation of a double top pattern on the chart. Importantly, any rally beyond the $1,913.15 mark might counteract the present bearish pull and pave the way for short-lived recovery maneuvers.

Today's trading dynamics are forecasted to fluctuate between a support level set at $1,885.00 and resistance situated at $1,915.00.

GOLD(XAU/USD) - Trade Idea

Entry Price – Sell Stop 1902

Take Profit – 1893

Stop Loss – 1910

Risk to Reward – 1: 1.13

Profit & Loss Per Standard Lot = +$900/ -$800

Profit & Loss Per Micro Lot = +$90/ -$80

Daily Price Outlook

Gold Price (XAU/USD) failed to stop its long losing streak and remains depressed near its lowest level since June in the Asian session on Tuesday. However, the reason for this decline is the stronger US dollar, supported by expectations of another increase in interest rates by the Federal Reserve. In contrast to this, concerns about the global economy, particularly in China, were seen as one of the key factors that helps the gold price to limit its deeper losses.

Gold Price Influenced by Strong US Dollar and Inflation Challenges

As previously mentioned, the price of gold has been impacted by the strength of the US dollar. The broad-based maintained a robust position, hovering near its peak for a period exceeding two months. This particular situation is proving to be a challenge for the gold market. This is because people are starting to believe that the Federal Reserve (Fed) will keep interest rates high for a longer time. This makes US Treasury bond yields go up, and that's helping the US dollar.

According to recent data from the United States, it seems that the effort to reach the Federal Reserve's 2% inflation goal is still a challenge. The US Consumer Price Index (CPI), which measures the cost of goods for consumers, increased slightly in July.

Meanwhile, the US Producer Price Index (PPI) increased more than expected. This has led to the possibility that the Fed might tighten its policies further. As a result, the interest rate on the 10-year US government bond, an important measure, reached its highest point in nine months on Monday. This also provided some support to the US dollar and contributed to the gold declines.

Gold's Resilience Amid Global Economic Worries and Anticipation of US Data

On the other hand, the increasing concerns about the global economy, particularly in China, are giving a boost to the price of Gold due to its reputation as a safe-haven asset. These concerns gained ground after recent data from China showed that Retail Sales and Industrial Production did not grow as much as people had expected in July. This made investors even more nervous about the state of the economy. Even though China's central bank made surprise interest rate cuts, it didn't make investors feel much better. As a result, the safe-haven Gold is still attractive to them.

Looking forward, people are waiting for US economic news like Retail Sales and the Empire State Manufacturing Index. These, along with US bond yields, could affect the US dollar and Gold prices. The market mood might offer short-term trading chances.

GOLD (XAU/USD) - Technical analysis

The gold price has decisively breached the $1,913.15 level, as evidenced by the daily candlestick's close below this mark. This move has initiated bearish trades, applying pressure towards the $1,900.00 threshold. A further decline is anticipated, with primary targets pinpointed at $1,892.00, and possibly reaching as low as $1,873.50.

The current market sentiment leans towards an ongoing bearish trend in the near term, reinforced by the negative sway of the EMA50 and further highlighted by the manifestation of a double top pattern on the chart. Importantly, any rally beyond the $1,913.15 mark might counteract the present bearish pull and pave the way for short-lived recovery maneuvers.

Today's trading dynamics are forecasted to fluctuate between a support level set at $1,885.00 and resistance situated at $1,915.00.