Hello everyone, it’s great to see you again and discuss our current strategy.
In general, XAUUSD is consolidating around the 2158 USD level, but at the same time, it continues to be within a narrow downtrend channel. Theoretically, the price will continue to gradually decrease within this downtrend channel, which will break below the support level and seek lower opportunities.
Meanwhile, with the Fed’s hawkish expectations, high US bond yields, and limited upside potential for the USD, it reduces international demand for gold.
That’s right! Earlier, I mentioned that gold still receives strong support around 2155-2150 USD. Breaking below this level will lead to a significant price drop, while buyers holding above this level will lead to price increases. Today, gold does not have too many price fluctuations and may be in a bearish range, because the market today does not receive news. The focus remains on the FED on Wednesday for fresh momentum in the medium term.
On this news, Price could test resistance, or a false breakout before falling further, but it would be more reasonable to see the correction continue below this liquidity zone.
