Technical analysis by Xayah_trading about Symbol PAXG: Buy recommendation (12/12/2024)

XAUUSD corrected after rising sharply as the possibility of the Federal Reserve cutting interest rates next week increased significantly after the release of US CPI data.CME Group's "FedWatch" tool shows traders see a 98.5% chance the Fed will cut another 25 basis points at its December 17-18 meeting, a significant increase from the 86% chance before CPI data is released.The U.S. Bureau of Labor Statistics reported Wednesday that the Consumer Price Index (CPI) rose 0.3% month-over-month and 2.7% year-over-year in November, both in line with market expectations. Economists surveyed by Dow Jones previously expected this number to increase an average of 0.3% month-on-month and 2.7% year-on-year.Excluding food and energy costs, the US core CPI rose 3.3% year-on-year in November and was up 0.3% month-over-month. Economists surveyed by Dow Jones on average expect core CPI to rise 0.3% month-on-month and 3.3% year-over-year.The market is now focusing on today's (Thursday) US Producer Price Index (PPI) data to shed more light on the Federal Reserve's interest rate cut roadmap.Geopolitical news once again boosted XAUUSD On the daily chart, gold corrected after approaching the 0.236% Fibonacci retracement level and temporary upside was limited by this technical level.However, in terms of overall structure, the gold price has enough technical conditions to increase after breaking the falling price channel and bringing the main activity above the EMA21 line. Along with that, the Relative Strength Index also rose above 50, which should be considered a positive signal for the bullish outlook of gold prices.On the other hand, gold is likely to open a new bullish cycle when it breaks above the $2,730 level of the 0.236% Fibonacci retracement then the target is the Volume profile POC point, more so the $2,761 level and all-time highs. era established earlier.During the day, the technical outlook for gold is bullish with notable points listed below.Support: 2,700 – 2,693 – 2,676USDResistance: 2,730 – 2,742 – 2,761USDSELL XAUUSD PRICE 2741 - 2739⚡️↠↠ Stoploss 2745→Take Profit 1 2734↨→Take Profit 2 2729BUY XAUUSD PRICE 2669 - 2671⚡️↠↠ Stoploss 2665→Take Profit 1 2676↨→Take Profit 2 2681