On November 4, when gold was trading around $2,750, we observed bearish signals on the XAU/USD chart.
Since then, the price has declined to the $2,600 level, briefly dipping below it — the lowest price since mid-September.
According to Trading Economics, investors may be losing interest in gold for several reasons:
→ Strong U.S. Dollar: A robust dollar reduces gold’s appeal as a safe-haven asset.
→ Optimism Following Trump’s Election: Market participants are reacting to Trump’s fiscal and monetary policy pledges, shifting toward riskier assets.
→ Upcoming Key U.S. Inflation Data: The CPI data, expected today at 16:30 GMT+3, may reveal no unexpected negative trends.
Today’s XAU/USD technical analysis shows that:
→ Gold’s price is at the lower boundary of the blue channel, which has been extended to reflect recent trading data.
→ The channel’s median line has shifted from support to resistance (shown with arrows).
It is possible that today’s inflation news may catalyse one of two scenarios on the XAU/USD chart:
→ Bullish Rebound: Buyers may attempt to resume an uptrend from the lower boundary of the blue channel, facing resistance around $2,655.
→ Bearish Control: Sellers may continue to dominate, potentially making the blue channel less relevant as price stabilises below $2,600.
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