Analysis Of XAU/USD Today: Tug-Of-War Between Bulls And Bears

By RoboForex Analytical Department

Market participants continue to assess the US Federal Reserve's decision regarding the interest rate and the subsequent comment by Federal Reserve Chairman Jerome Powell. His remarks about the probable rise in the key rate by the end of this year have resulted in increased demand for US government bonds. Meanwhile, other assets, including precious metals, began to depreciate.

Technical Analysis Of The XAU/USD Pair

On the D1 timeframe, there have been no significant changes for the XAU/USD pair. There is an ongoing battle between bulls and bears for the 1923.44 level. If the latter persists, there is potential for a further decline in the price of a troy ounce to the 1903.96 support level. Much will depend on the outcome of today's trading session. Otherwise, gold may continue its upward movement towards its local highs.

On the H1 timeframe, speculative intraday sales from 1923.80 to 1903.96 are currently relevant. It is recommended to practice conservative money management since major players are still undecided about the future trend. Movements within this broad channel can be extremely volatile. Entry points for a long position are not yet clear. If the 1903.96 level is breached, consider selling with a target of 1886.20.

Disclaimer

Any forecasts contained herein are based on the author's particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.