Gold price retreats from six-week highs but holds above the $1,900 level. XAU/USD needs softer United States Consumer Price Index (CPI) data to take out the $1,919 barrier, FXStreet’s Dhwani Mehta reports.
$1,900 could be tested on further retracement in the Gold price
“A softer-than-expected US inflation data could help strengthen the ongoing narrative that the Fed should pause its rate hike cycle amid mounting risks to financial stability. As a result, the USD could witness a fresh selling wave, reaffirming Gold’s journey toward the $2,000 threshold.”
“Daily closing above the February 3 high of $1,919 is needed to resume the uptrend toward the year-to-date highs of $1,960. The next stop for Gold buyers is seen at the $2,000 threshold.”
“On the flip side, $1,900 could be tested on further retracement in XAU/USD. Should the correction gather steam, then Gold sellers will extend control toward the mildly bullish 50-Daily Moving Average (DMA) at $1,874. Ahead of that, the February 9 high of $1,890 could come to the rescue of Gold buyers.”
See – Gold Price Forecast: XAU/USD bullish momentum continues, eyes on next resistance at $1,960 – ANZ
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