Daily Analysis XAUUSD - 11 Aug 2023

The unimpressive inflation data in the US provided a reason for Fed policymakers to celebrate their victory over price pressures. Meanwhile, Philip Lowe, the Governor of the Reserve Bank of Australia (RBA), defended the recent pause in monetary policy by expressing concerns about potential higher unemployment rates. Additionally, recent Reuters polls indicate that both the Reserve Bank of New Zealand (RBNZ) and the European Central Bank (ECB) are likely to keep interest rates unchanged in upcoming monetary policy meetings.

In another context, the sustained defense of the Yuan by Chinese policymakers has boosted market confidence in Asia's ability to overcome economic concerns. This has contributed to a sense of cautious optimism and supported the Gold Price.

It's important to mention that the light economic calendar and the cautious sentiment ahead of the US Producer Price Index (PPI) and the Michigan Consumer Sentiment Index are also impacting Gold buyers' decisions. These factors are influencing the market ahead of the Federal Open Market Committee (FOMC) monetary policy meeting minutes scheduled for next week.

Gold is continuing its bearish trend and is currently awaiting today's PPI data to provide further direction. The next support level is around the 1900 area, which represents a significant confluence point.

Resistance 3	Resistance 2	Resistance 1	Support 1	Support 2	Support 3
1960	1953	1942	1931	1920	1900