GOLD - SENSITIVE Pressure Amid Geopolitical Tensions

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Gold prices fell in the European market on Wednesday to resume moving in the negative zone again, away from its highest levels ever, within a short-term downward correction cycle, and under pressure from the rise in the US currency levels against a basket of global currencies.

Where more aggressive comments by Federal Reserve Chairman Jerome Powell led to a decline in the chances of cutting US interest rates by 50 basis points next November, and in order to re-price those chances, investors are awaiting, starting today, the release of a series of important data on the US labor market.


Generally, the direction is an uptrend

Uptrend Side: The price has dropped from the strong resistance level of 2,670. Currently, the price is trading above 2,650, which will act as a support as long as it remains above this level. Therefore, the target of 2,670 is achievable today, with the potential to reach 2,683 if surpassed.

Correction: The price will face a correction toward 2633 before starting the uptrend.

Downtrend Side: For any reason, if the 2,650 level is broken, especially with a 1-hour or 4-hour candle close, bearish momentum is likely to begin, targeting 2,625.

Be cautious of sudden market movements, as geopolitical tensions continue to exert pressure.
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