GOLD recovers moderately after sharp decline

שלשום

XAUUSD maintained a moderate intraday recovery after yesterday's sharp decline. Gold price is currently trading around 2,611 USD/ounce.

Minutes of the Federal Reserve's September meeting showed that the vast majority of Fed officials favored a significant 50 basis point interest rate cut. Traders' focus now turns to the US CPI data released today.

Today the US Bureau of Labor Statistics will release the September Consumer Price Index (CPI) report. Investors will focus on this report for more data to evaluate on the US interest rate outlook.
The market expects US annual CPI growth in September to decrease from 2.5% to 2.3%. CPI in September is expected to increase by 0.1% over the previous month, lower than the previous increase of 0.2%.
The annual US core CPI growth rate in September is expected to remain at 3.2%; Core CPI growth rate compared to the previous month in September is expected to decrease from 0.3% to 0.2%.
The market estimates inflation will continue to decline, data equal to or lower than expected would be a very positive signal for gold prices. However, if inflation is higher than the previous period, it will open the door for expectations that the Fed will pause the monetary policy easing cycle and this is not beneficial for gold, boosting the US Dollar.

Analysis of technical prospects for XAUUSD
On the daily chart, gold is trying to hold above key technical levels above the $2,600 full price and above the 0.236% Fibonacci retracement level.

Temporarily, the recovery momentum is quite weak, hindered by the EMA21 level. However, conditions still allow gold prices to rise technically with the trend channel not broken below, on the other hand, the Relative Strength Index (RSI) approaching the 50 level, showing some signs of being broken. bend and if RSI points up it will be a positive signal for gold prices.

As long as gold remains within the price channel, it still has conditions to increase in price. In case gold is sold below the level of 2,600 USD, confirmed by the price penetrating the level of 2,594 USD, it will tend to decrease further with the target level being able to reach 2,560 USD, the price point of the 0.382% Fibonacci retracement.

During the day, gold still has a technical outlook that leans heavily towards price increases with notable levels listed below.
Support: 2,608 – 2,600 – 2,594USD
Resistance: 2,618 – 2,634 – 2,660USD

SELL XAUUSD PRICE 2636 - 2634⚡️
↠↠ Stoploss 2640

→Take Profit 1 2629
↨
→Take Profit 2 2624

BUY XAUUSD PRICE 2589 - 2591⚡️
↠↠ Stoploss 2585

→Take Profit 1 2596
↨
→Take Profit 2 2601

שלשום

הערה

Gold prices fluctuated strongly, jerking in both directions during the session due to US job market data and CPI inflation. Gold price is currently "struggling" around 2625 USD/oz on the H4 chart, however this precious metal still maintains an increase of more than 200 pips during the session.

שלשום

הערה

At the end of the trading session on October 10, the spot gold contract increased 0.6% to 2,623.58 USD/oz, ending a series of 6 consecutive losing sessions. Gold futures contracts added 0.5% to 2,639.30 USD/oz.

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הערה

אתמול

הערה

According to a report released by the US Bureau of Labor Statistics today, the US PPI index in September was unchanged compared to August. Compared to a year ago, this index increased 1.8% — the smallest increase since February. Core PPI increased 0.1%, equal to the smallest increase since May 2023. The market continues to expect the Fed to lower interest rates by 25 bps next month.