Uncertainties Surround Gold Prices (XAU/USD) Amid Upcoming Central Bankers

GOLD Prices (XAU/USD) are facing difficulty in maintaining a corrective bounce as high-profile speeches from central bankers at the European Central Bank (ECB) Forum approach. Aside from the cautionary mood preceding this pivotal event, a mix of concerns related to China, one of the largest consumers of Gold, and stronger US data pose challenges for XAU/USD traders.Expectations of additional stimulus from China stand in contrast with escalating fears of a slowed economic recovery in Beijing, coupled with concerns of potential Sino-American conflicts following recent AI restrictions on Chinese chip manufacturers.

This dynamic situation adds complexity to the decisions of GOLD traders. Conversely, a series of US data has enabled the greenback to recover losses and boost bullish bets on the Federal Reserve (Fed), thereby influencing XAU/USD bulls.

Key among these data were Durable Goods Orders, the Conference Board’s CPI (Consumer Confidence Index), and several housing figures.Going forward, speeches from Fed Chairman Jerome Powell, ECB President Christine Lagarde, and Bank of England Governor Andrew Bailey at the European Central Bank’s Forum will significantly impact the immediate trajectory of Gold prices.

Powell’s address will be particularly noteworthy, given that the US central bank recently paused its rate hike trajectory, which initially had a bearish impact on the US Dollar but has since shifted to a hawkish stance.

Gold Technical Outlook

GOLD prices have achieved our initial target at 1913.15 and have settled there, succumbing to the ongoing negative pressure exerted by the EMA50. This sustains the probability of surpassing this level and paves the way to target the next negative station at 1873.50 potentially.

The bearish channel continues to endorse the anticipated bearish wave, noting that maintaining the 1913.15 level against the present negative pressure could trigger price recovery attempts targeting 1929.00 and possibly extending to 1945.20 before any new decline attempt.The predicted trading range for today lies between the 1895.00 support and the 1930.00 resistance

ABOUT THE AUTHOR See More

Arslan Butt

Index & Commodity Analyst

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.

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