Gold prices fell in the European session today, Monday, to reach near 1910.00 US dollars. This decline comes with the reiteration of US Federal Reserve Governor Powell that raising interest rates twice would be appropriate, which leads to more fears about inflation in the United States of America.
Prices stabilized around $1910, awaiting the manufacturing PMI data in the United States today, with all eyes on the US jobs data at the end of the week.
Technically, we notice on the hourly chart that prices rebounded from the 38% Fibonacci area at 1922.76 at the end of last week, to continue to fall to the 1910 support. Gold is trading around the 100-hour moving average, waiting for it to rebound upwards and test the $1922 resistance again.
On the daily timeframe, we notice that the price of gold rebounded from the 38% Fibonacci area, where a support area was formed around the price of 1902.85 dollars, and in the event of a rebound for the price to 1922 dollars, as we indicated, buyers will try to breach this resistance to continue towards the 100-day moving average and test the resistance of 1944 and 1945 dollars.
In the event that prices continue to decline and succeed in breaking the $1902 support, we will witness a slump in global gold prices, and it may continue towards $1850.
