Slobodan Drvenica
Windsor Brokers
XAU/USD
Gold is consolidating above key supports in early Monday as bears take a breather after last week’s 2.7% fall and markets await fresh signals from US inflation report, due on Tuesday.
The metal’s price was sharply down last week on hawkish remarks from Fed Chair Powell, which faded expectations for an end of hiking cycle and possible rate cuts in the near future and lifted dollar, although geopolitical risks and persisting economic growth concerns continue to fuel demand for safe-haven gold.
Technical picture on daily chart weakened as 14-d momentum entered negative territory and 10/20DMA’a turned to bearish setup, but fresh bears faced strong headwinds from key supports at $1935/33 (200DMA / Fibo 38.2% of $1810/$2009 upleg) and so far holding above these supports.
Clear break here is needed to signal bearish continuation after another failure at psychological $2000 barrier and expose targets at $1909/00 (50% retracement / round-figure).
Focus turns on US Oct CPI data which are expected to provide more clues about Fed’s next steps, whether the central bank will stay on hold in December or opt for another rate hike.
Core inflation is expected to remain unchanged in both, monthly and year on year readings, which will present neutral to negative view, as it will signal a pause in CPI’s larger downward trajectory.
On the other hand, any stronger divergence from consensus (in both directions) would generate fresh signal, with higher than expected readings in October to offer fresh support to dollar and further weaken yellow metal’s price, while lower inflation would add to expectations of an end of tightening cycle and deflate dollar.
Res: 1942; 1950; 1962; 1967.
Sup: 1933; 1924; 1909; 1900.
Interested in XAU/USD technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
EUR/USD tests fresh tops above 1.0870 on NFP
The selling bias in the US Dollar gathers extra pace on Friday after the US economy created fewer jobs than initially estimated in February, sending EUR/USD to the area of new highs around 1.0870.
GBP/USD hovers around recent highs above 1.2900
The continuation of the downward trend in the Greenback encourages GBP/USD to maintain the trade just above the 1.2900 mark following the release of US NFP in February.
Gold remains bid above $2,900 after US Payrolls
Gold prices manage to leave behind Thursday’s pullback and revisits the area of $2,920 per troy ounce in the wake of the publication of the US labour market report in February.
White House Crypto Summit could boost adoption across financial markets: Binance exec Rachel Conlan
US President Donald Trump signed an executive order for a Strategic Bitcoin Reserve on Friday, shifting industry leaders’ focus from regulation to adoption. Within just over six weeks of his term, the President is set to host the first Crypto Summit, hosting industry giants and executives from the ecosystem.
February CPI preview: The tariff winds start to blow
Consumer price inflation came out of the gate strong in 2025, but price growth looks to have cooled somewhat in February. We estimate headline CPI rose 0.25% and the core index advanced 0.27%. The moderation in the core index is likely to reflect some giveback in a handful of categories that soared in January.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.