Daily Analysis XAUUSD - 10 July 2023

The prevailing risk-off sentiment in equity markets has boosted the price of gold, a traditional safe-haven asset. Weak economic data from China, including a decline in the Producer Price Index and low consumer inflation, has raised concerns about the country's slowing growth. Ongoing trade conflicts between the US and China further dampen investor sentiment. However, the strengthening US Dollar has acted as a headwind for gold prices. Despite a slight miss in the US Nonfarm Payrolls, the decrease in unemployment and strong wage growth support expectations of a rate hike by the Federal Reserve. This strengthens the US Dollar, limiting gains for commodities like gold.

Gold remains within a price range, with resistance at 1931 and support at 1900. After Friday bullish performance today gold correcting back as the 1931 played the role of resistance. The 100MA on the 4h chart also seems to be playing a good resistance level.

Resistance 3	Resistance 2	Resistance 1	Support 1	Support 2	Support 3
1980	1960	1931	1912	1900	1870