- Gold Price portrays corrective bounce at one-week low amid lackluster markets.
- Broad US Dollar strength, risk aversion prod XAU/USD rebound from key support confluence.
- Hawkish Fed talks, concerns about US economic strength keep Gold sellers hopeful of breaking immediate support.
Gold Price (XAU/USD) struggles to defend the first daily gains in six at the lowest level in more than a week as market players seek additional clues to defend the previous bearish bias about the bullion. In doing so, the XAU/USD traders reassess the latest United States (US) data and Federal Reserve (Fed) clues amid hopes of witnessing a soft landing in the US despite higher rates. The same joins fears of economic slowdown in other major countries to propel the Greenback and exert downside pressure on the Gold Price.
Elsewhere, grim concerns about China, one of the world’s biggest Gold customers, join the Sino-American tussles and upbeat yields to also increase the hardships for the XAU/USD recovery.
That said, a one-week-long European Central Bank (ECB) policymakers’ blackout period and a likely improvement in the second-tier US employment clues seem to highlight today’s Fed talks as the key catalysts.
Also read: Gold Price Forecast: XAU/USD could test $1,900 if key support confluence fails
Gold Price: Key levels to watch
Our Technical Confluence indicator suggests that the Gold Price prods the lower end of the short-term trading range while fading the bearish bias after five-day losing streak. That said, the XAU/USD remains within a strong trading range between $1,935 and $1,915 despite falling in recent days.
That said, the middle band of the Bollinger on one-day joins Fibonacci 38.2% on one-month to highlight $1,915 as the key support.
On the contrary, Fibonacci 61.8% on one-month suggests the $1,935 is an important upside hurdle for the buyers.
It should be noted that the middle band of the Bollinger on four-hour (4H) joins the 50-DMA to highlight $1,930-31 as an extra filter towards the north.
In the same way, the 200-DMA joins the Pivot Point one-week S1 and Fibonacci 23.6% on one-day to signal $1,918 as immediate support.
It’s worth observing that the Fibonacci 38.2% on one-week and 161.8% on one-day also acts as an upside filter near $1,938 before directing the Gold buyers toward the $1,950 hurdle.
Meanwhile, Fibonacci 23.6% on one-month prods the XAU/USD sellers near $1,905 before directing them to the Pivot Point one-week S2 and one-month S1, around $1,895.
Here is how it looks on the tool
About Technical Confluences Detector
The TCD (Technical Confluences Detector) is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. If you are a short-term trader, you will find entry points for counter-trend strategies and hunt a few points at a time. If you are a medium-to-long-term trader, this tool will allow you to know in advance the price levels where a medium-to-long-term trend may stop and rest, where to unwind positions, or where to increase your position size.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD defends gains above 0.6400 as US Dollar finds fresh demand
AUD/USD is retreating from near YTD highs but defends minor bids above 0.6400 early Tuesday. Hopes that the US will start to announce some trade deals remain supportive of a positive risk tone and renewed US Dollar demand, capping the pair's upside.
USD/JPY bounces back to near 142.50 amid light trading
USD/JPY rebounds toward 142.50 in the Asian session on Tuesday as a positive risk tone undermines safe-haven assets such as the Japanese Yen while providing support to the US Dollar. However, the further upside appears elusive amid a Japanese holiday-led thin trading conditions.
Gold holds below $3,350 on firmer US Dollar, easing US-China trade tensions
Gold price loses ground to around $3,335 during the early Asian session on Tuesday. The yellow metal edges lower amid a modest rebound of the US Dollar and a softening in tensions between the United States and China.
Coinbase launches new Bitcoin Yield Fund, offering investors 4–8% annual returns
Coinbase Asset Management is set to launch a new institutional product designed to deliver sustainable bitcoin-denominated returns for investors outside the United States. The Coinbase Bitcoin Yield Fund aims to tap into over $1 trillion in bitcoin liquidity to offer annualized returns of 4% to 8%.
Week ahead: US GDP, inflation and jobs in focus amid tariff mess – BoJ meets
Barrage of US data to shed light on US economy as tariff war heats up. GDP, PCE inflation and nonfarm payrolls reports to headline the week. Bank of Japan to hold rates but may downgrade growth outlook. Eurozone and Australian CPI also on the agenda, Canadians go to the polls.
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.