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Is it above 3423 or below 3389? Data to answer
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Hello everyone, today XM Forex will bring you "[XM Official Website]: Gold above 3423 or below 3389? Data gives the answer". Hope it will be helpful to you! The original content is as follows:
On Friday (August 29), spot gold fell in the European period, and the US market traded near the $3,407 line before the market. The profit settlement at the end of the month was superimposed with the position adjustment before the data, which put the market under short-term pressure, but the cumulative performance this month was still stable. The market is waiting for the July core PCE price index released at 20:30 tonight, which will provide clearer guidance on subsequent policy paths and the direction of the US dollar.
Fundamentals:
The monthly rate of core PCE is expected to remain 0.3%, and the annual rate may rise slightly from 2.8% to 2.9%. If the reading is soft, it will consolidate the expectation of a rate cut in September; if it is higher than expected, it will www.xmniubi.compress the market's bet on easing, support the US dollar and restrain gold prices. The current US dollar index stops falling and stabilizes at the 98.00 line, and is still at the lower edge of this month's range; the yield on the US Treasury is horizontally consolidated, with a 10-year period of about 4.22%, not far from the four-month low, the 30-year period returns to around 4.90%, and the 10-year inflation-protected bond (TIPS) real yield fluctuating around 1.81%. The real interest rate remains high but is a marginal downward, which is an important macro soil for gold to strengthen this year.
On the policy side, Federal Reserve Director Christopher Waller released dovish guidance on Thursday - supporting a 25 basis point interest rate cut in September, and a cumulative reduction of 125-150 basis points in the next 3-6 months, but he also emphasized that only if employment has become significantly weaker and inflation is under control will consider greater efforts; this statement makes "steady rather than radical" the benchmark scenario.
Georally, regional tensions continue. After the meeting in Alaska, the plan for a high-level meeting between Russia and Ukraine was poured cold water. German Chancellor Friedrich Merz's latest statement was intertwined with the news of the missile attack on Kiev that day, strengthening the marketrisk aversion preference.
At the same time, discussions on the independence of the Federal Reserve heat up - the legal dispute surrounding the president and Fed Director Lisa Cook entered the court process and a hearing was held on Friday, which affected emotions in the short term but did not change the main line of "decline inflation - loosening policy - lower real returns" in the medium term. The www.xmniubi.combination of the above factors has made the market's long-term allocation logic of gold still stable: under the framework of uncertain growth, rebound in easing expectations and frequent risk events, the risk aversion and hedging value of precious metals is still recognized.
Technical:
4-hour K-line shows that the bull-dominated upward trend remains intact, but enters a high turnover in the short term. The upper, middle and lower rails of the Bollinger band are at 3421.57, 3388.95 and 3356.32 respectively; they were blocked after hitting the high point of the stage 3423.02 in the early stage, and are currently oscillating around 3407.21, and the fallback near the upper rail is in line with the www.xmniubi.common rhythm of "upper rail pressure-middle rail backtesting". The DIFF of the MACD indicator is 12.76 and the DEA is 12.65. Although the bar chart +0.21 is still positive, the kinetic energy slows down marginally, indicating that the upward action energy has entered a passivation period; RSI (14) is around 63, and there is no significant top divergence at the high level, but there is "overbought after digestion" in the short term.
The previous high of 3408.71 and the recent peak of 3423.02 form a dense resistance zone. If the above fails to effectively break through the volume, the price will likely retreat to the Bollinger middle rail 3388.95 for backtesting, further supporting it at 3356.32 and low 3311.40. If you stand firmly at 3421.57 and increase the volume again, you can open upward space and focus on the upper price dense area near 3435.
Future Outlook:
Short-term (next 1-2 weeks):
1) Dove-big scenario - core PCE is lower than expected or points to slowing down inflation: the US dollar falls, real interest rate is down, gold price is expected to impact and stabilize above 3421.57. If 3423.02 is swallowed up by large volume and www.xmniubi.completes "retest and unbreakable", the trend continues, and the target is looking at the price magnetic level of the integer range of 3435 and 3450-3460 above.
2) Neutral scenario - the data meets expectations: the price is likely to oscillate in box between 3421.57 and 3388.95, and then choose the direction after the Bollinger band bandwidth converges. The emotional surface is mainly about digestion and waiting for non-agricultural areas.
3) Eagle-scene scenario - data is higher than expected: the US dollar stabilizes, long-term yield rebounds, and gold prices may fall to 3388.95; if it falls below and forms "middle-track resistance", the decline space will point to 3356.32. In extreme cases, 3311.40 can be tested, but considering the monthly trend and risk aversion premium, deep declines are often accompanied by a rapid technical rebound.
Key prices and risk points:
——Resistance: 3415 (short-term pivot), 3421.57 (bollinger upper rail), 3423.02 (stage high).
——Support: 3388.95 (BronzeRail/dynamic support), 3356.32 (Ballinger's lower rail), 3311.40 (lower).
——Risk Events: Core PCE, the following week’s non-agricultural and unemployment rate, changes in policy www.xmniubi.communication caliber, and sudden geopolitical impact.
The above content is all about "[XM official website]: Gold above 3423 or below 3389? Data gives answers". It was carefully www.xmniubi.compiled and edited by the editor of XM Forex. I hope it will be helpful to your transactions! Thanks for the support!
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