FX.co ★ Tote | XAU/USD, GOLD

XAUUSD Short-Term Analysis: The gold price (XAU/USD) registers minor losses of around $4038.19 as bulls and bears battle inside a short-term symmetrical triangle prior to the required inflation release. It's crucial to remember that the US dollar's comeback the day before made the XAU/USD more appealing to bears. However, during Thursday's slow Asian session, gold sellers face difficulties due to conflicting statements made by Federal Reserve (Fed) officials, the lack of important US data, and the risk-on environment. The US dollar's recovery impacts the price of gold as traders wait for crucial information or developments. In spite of this, the US Dollar Index (DXY) fell 0.05% intraday to 102.65 at publishing the day before, marking its first daily rise in three days. The price of gold fluctuates within a symmetrical triangle that has been building for a week, suggesting further volatility on the breakout. Therefore, the impending bull cross on the Moving Average Convergence and Divergence (MACD) indicator combines with the concealed bullish divergence between the price and the Relative Strength Index (RSI) line, which is positioned at 14, to attract the XAU/USD bulls. As a result, it is anticipated that the XAU/USD will keep rising, with the triangle's top line—which is now at $4053.19—acting as a natural barrier to the north. Gold buyers may then be challenged by the round number of $4073.19 and the most recent peak at $4088.19 before reaching the prior annual high of $4148.19. A downward break of the triangle's bottom line, which is at $4023.19, might potentially cause a short-term drop in the price of gold. However, the 100-bar Simple Moving Average (SMA) level at $3998.19 may check them before giving the XAU/USD selling strength.