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Gold prices experienced a strong increase yesterday, reaching the 2324 level. This rise was mainly due to inflation remaining high, particularly in major economies like the US, China, and the Eurozone. Geopolitical Tensions: Hotspots around the world, such as the US-China tensions and the Russia-Ukraine conflict, show no signs of cooling down, creating pressure on the market and boosting the demand for gold as an investment. After the strong increase, prices are currently adjusting and may fall back to support levels before rising again. Today, the market trend is likely to continue its upward movement, so we will primarily focus on the BUY strategy for gold.

Currently, reports on inflation and economic growth from major economies such as the US, EU, and China can significantly impact gold prices. On the chart, we can see that gold prices are currently in an uptrend, supported by the long-term uptrend line and the EMA 34 and EMA 89 lines. The strong resistance level at the 2414 price zone has been confirmed multiple times. The fact that gold prices have reached this level but failed to break through indicates strong selling pressure here. The formation of recent red candles at the resistance zone may signal a short-term correction before the next trend. If gold prices fail to break through this resistance zone, a downward correction trend may occur with the nearest support target being the 2387 zone.

CPI data and events in Europe, along with tensions between the US and China, can affect investor sentiment, boosting demand for safe-haven assets like gold. Currently, the price is between the 34-day EMA and the 89-day EMA, indicating that selling pressure remains but is gradually decreasing. Gold is trading within a descending channel with upper and lower bounds at $2,400 and $2,300, respectively. The main resistance area is $2,400, where a significant number of sell orders might be executed. If the price breaks above the $2,400 resistance level and sustains above it, the uptrend may continue. Otherwise, if the price fails to surpass this area, it may reverse and fall back to the trendline for a retest before rising again.Trade active

Statements regarding monetary policy and interest rates are expected to significantly impact gold prices. XAUUSD is currently maintaining an uptrend. However, the 2-hour chart shows signs of a potential short-term correction as the price approaches key resistance levels. A strong resistance area is identified at $2,395. The uptrend is characterized by higher highs and higher lows. There is a possibility that XAUUSD will face strong resistance at the $2,395 level and decline. If the price fails to break through this level, it is highly likely that it will drop to the support level around the trendline at $2,360 or even lower.Trade active