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10.01.202406:16 Forex Analysis & Reviews: Trading Signals for GOLD (XAU/USD) on January 10-12, 2024: buy above $ 2,036 (21 SMA - range)

Exchange Rates 10.01.2024 analysis

Gold is trading around 2,030.88, around the 200 EMA, and below the 21 SMA located at 2,036. Yesterday during the American session, gold consolidated above the 200 EMA. If it continues to trade above this area in the coming days, there could be a recovery in gold.

The price range movement between 2,040 and 2,025 is due to widespread market uncertainty because on Thursday, January 11, CPI data will be released in the United States.

This data is the key for investors. Inflation expectations will likely influence the movement of gold. If inflation is above the 3% those analysts expect, this data could benefit the US dollar.

A strong US dollar could directly affect gold and we could see a sharp drop as part of its downtrend and the metal could reach the 2,016 zone, which acted as strong support on December 14 and January 5.

If there is a break in this support of 2,016, we could expect gold to fall quickly towards 4/8 Murray located around the psychological level of $2,000.

On the other hand, in the next few hours, we expect gold to trade between a range below the top of the downtrend channel around 2,047 and above the 200 EMA located at 2,030.

With a close below 2,029 on the 4-hour chart, we could expect a drop in gold and it could reach the 2,016 zone. If this scenario occurs, we could expect a consolidation around this area that could cause a technical rebound which represents strong weekly support.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Dimitrios Zappas,
Analytical expert of InstaSpot
© 2007-2024
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