Yesterday, XAUUSD plummeted from $3,398 to $3,342, losing more than $55 in just one trading session. This sharp decline pushed XAUUSD below a crucial support level, signaling significant weakness.
This drop confirms that gold is under strong selling pressure, with the market struggling to maintain upward momentum.
Additionally, the m/m CPI came in at 0.3%, higher than the expected 0.2%. This indicates inflation is rising faster than anticipated, increasing expectations that the Fed will continue raising interest rates.
This outcome could strengthen the USD, which typically leads to a drop in gold prices. This factor further supports the bearish outlook for XAUUSD.
The price is now approaching a near resistance level at $3,362, a key point that may limit further upside potential. The near support is located at $3,310, and this will be tested if the price breaks through the resistance at $3,362.
Conclusion: With the combination of strong bearish price action, a stronger USD driven by CPI data, and technical structure supporting the downtrend, XAUUSD appears to be in a strong bearish trend. Risk management should be a priority as the price could test new lows near $3,310, and if this level breaks, the bearish trend could accelerate.
This drop confirms that gold is under strong selling pressure, with the market struggling to maintain upward momentum.
Additionally, the m/m CPI came in at 0.3%, higher than the expected 0.2%. This indicates inflation is rising faster than anticipated, increasing expectations that the Fed will continue raising interest rates.
This outcome could strengthen the USD, which typically leads to a drop in gold prices. This factor further supports the bearish outlook for XAUUSD.
The price is now approaching a near resistance level at $3,362, a key point that may limit further upside potential. The near support is located at $3,310, and this will be tested if the price breaks through the resistance at $3,362.
Conclusion: With the combination of strong bearish price action, a stronger USD driven by CPI data, and technical structure supporting the downtrend, XAUUSD appears to be in a strong bearish trend. Risk management should be a priority as the price could test new lows near $3,310, and if this level breaks, the bearish trend could accelerate.
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Top trading opportunities are waiting for you! : t.me/+TaRRH29IRysyNGJl
🔥 High-quality signals – Win rate up to 85%
📍 Accurate, verified technical analysis
⚡ Fast updates – Never miss a golden entry
🔥 High-quality signals – Win rate up to 85%
📍 Accurate, verified technical analysis
⚡ Fast updates – Never miss a golden entry
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.