Technical analysis by James-Bennett about Symbol PAXG: Sell recommendation (4/24/2024)

Hello dear traders! Do you think XAUUSD will increase or decrease? Overall, XAUUSD continues its corrective trend in today's trading session. But at the same time, a Double Top has appeared on the 3-hour chart, capped below the resistance level of 2330-2335 USD. It is worth noting that the mentioned support zone is believed by investors to be a very strong support zone, but based on the setup and pattern, there is a high possibility of seeing a breakout and a decline. The $2050 area is an ideal area to test as this is a strong intermediate bottom where price has had strong growth behavior. Based on the current market structure and price behavior, we are more likely to catch a market correction. Personally, I still appreciate the bearish strategy, a breakout and consolidation below $2300 would not be surprising if XAUUSD falls further.Trade activeComment: Gold is trying to recover from Monday's sharp decline but still holds above $2,300. Benchmark 10-year US Treasury yields remained in the green above 4.6% ahead of the US data, not allowing XAU/USD to gain traction.Comment: Q1 GDP and core inflation will provide additional signals about when the Federal Reserve (Fed) will begin reducing interest rates. US core PCE inflation, the Fed's preferred inflation measure, is estimated to have increased steadily 0.3%, with the annual figure falling to 2.6% from 2.8% recorded in February. Gold prices could face a sharp sell-off if core inflation data turns out hotter than expected.Comment: Gold finds it difficult to stage a rebound midweek following Monday's sharp decline but manages to hold above $2,300. The benchmark 10-year US Treasury bond yield stays in the green above 4.6% after US data, not allowing the pair to turn north.Comment: The downside, however, seems limited as traders might refrain from placing aggressive directional bets ahead of important US macro releases, starting with Durable Goods Orders later this Wednesday. The focus, however, will remain glued to the Advance US Q1 GDP report and the Personal Consumption Expenditures (PCE) Price Index. The data will be looked upon for cues about the Fed's rate-cut path, which will drive the USD demand and help in determining the near-term trajectory for the Gold price.Comment:Comment: