Technical analysis by James-Bennett about Symbol PAXG: Sell recommendation (4/23/2024)
XAUUSD is definitely going down
Hello dear traders! Let's discuss and strategize our new day! Overall, XAUUSD experienced a significant pullback today with the price falling above the $2380 and $2365 support levels as mentioned earlier. It is currently trading steady at $2,358, marking a loss of 1.38% on the day, and the downtrend remains popular with investors. Personally, I still maintain my sell stance, the false break at 2365 is an important area for XAUUSD, which changed the price structure. We are waiting for it to bounce back to test that false breakout zone, before a further correction towards the $2335 target and a retest of the 89 EMA.Comment: Gold prices (XAU/USD) extended their steady intraday decline into the early European session on Monday and fell to a one-week low around the $2,350 region in the past hour.Comment: The downside for Gold prices remains tempered by growing expectations that major central banks will cut interest rates this year. Traders may also limit sharp bearish bets ahead of Tuesday's flash Global PMI release and key US macro data - previous Q1 GDP report and Expenditure Price Index personal consumption expenditure (PCE) on Thursday and Friday respectively. This, in turn, warrants caution before confirming that XAU/USD has topped in the near term and positioning for any meaningful downside correction.Trade activeComment: Gold trades on the back foot and loses over 2% on the day below $2,340. Easing geopolitical tensions cause XAU/USD to stage a deep correction, while the resilience of the US Treasury bond yields further weighs on the pair.Comment: However, the downside for Gold prices remains tempered by growing expectations that major central banks will cut interest rates this year. Traders may also limit sharp bearish bets ahead of Tuesday's flash Global PMI release and key US macro data - previous Q1 GDP report and Expenditure Price Index personal consumption expenditure (PCE) on Thursday and Friday respectively. This, in turn, warrants caution before confirming that XAU/USD has topped in the near term and positioning for any meaningful downside correction.Trade closed: target reachedComment: