Daily Analysis XAUUSD - 24 July 2023

With the major bond yields of developed countries going down, gold has become more attractive. The tightening cycle is ending as a slowdown in inflation has become clear in the US and EU, leading economies. In such conditions, gold generally becomes more attractive for holding. Additionally, the EU has started signaling worse-than-expected economic activity, as evidenced by PMI from manufacturing and services being in the contraction territory, and this trend may continue downward. A possible recession can affect risk-taking, and Gold is considered a safe haven in times of risk-off sentiment, especially as Q2 earnings results in the US were lower than expected.

Gold found support and stabilized at the $1959 level. Additionally, the RSI in the 2H chart signals a divergence, indicating a possible reversal towards the $1968 level, followed by the $1973 resistance level.

Resistance 3	Resistance 2	Resistance 1	Support 1	Support 2	Support 3
1982	1970	1960	1931	1920	1904