GOLD → XAU pricing is dependent on the 103 level at DXY

23 août 2023

XAUUSD confirms flat resistance and forms a retracement of 1890 support, but the price does not reach flat support, while XAU forms a double retest of MA-200, but does not update the high. Strange situation in the market

Statistically, another retest of resistance can lead to a breakout of resistance, but as long as the price is in consolidation we will consider the strategy of trading from the flat boundary. XAU has global and local trend coincide and both have downward direction.
On the global timeframe we are interested in DXY, the price broke 103 and is forming a consolidation above the level, if the price starts to update the local highs it will mean that the dollar has strengthened above 103 and will continue its growth, in this case gold will continue its fall from the level of 1902.87 (pay attention to this level).
Above 1902.87 a liquidity area is forming at the moment, a false breakout of this level is possible before a further fall.



Support levels: 1896.68, 1890
Resistance levels: 1902.9, 1912.25
I expect a decline in the gold price in the prioritization, perhaps it will happen after a false breakout.
If the dollar makes a false break of 103, gold will break the resistance and head towards 1925

Regards R. Linda!

23 août 2023

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