The yellow metal rebounded from the bottom of 1885 dollars to settle above the level of 1900 after a series of losses for three consecutive weeks due to fears of a possible recession in the Chinese economy. Strong at $1923, which is considered the key to rising towards other peaks.
Traders await speeches from central bankers at the Jackson Hole Symposium. At the same time, pressure continues on gold after the recent rise in US Treasury yields alongside the US dollar. Data on US durable goods orders for July and expansion in the economy, in addition to strong labor market indicators, also led to Fed members continuing their tightening policy and hinting at continuing to raise interest rates to combat high inflation. And reach the goal of the Federal Reserve.
In addition, this week’s data on purchasing managers’ indices for the month of August, optimism about the convergence of relations between the United States and China, and expectations of more government stimulus for the Chinese economy by reducing commissions on Chinese stocks led to the consolidation of gold at the bottom of 1885 dollars.
Technically: On the daily time frame, we notice that the price is moving above the 200-day moving average after breaching the $1904 resistance. Also, the price continues above the 38% Fibonacci correction area, which turned into a support area at 1902.60, which we expect to be tested before returning to rise towards the $1935 resistance.
