Gold retests $3,325, next support $3,312-$3,292, resistance $3,349-$3,359
- Gold revisits horizontal support $3325, Next support sits at $3312 & $3292.
- Immediate hurdle to cross is $3341, followed by $3349 & $3352.
- Dollar Index extends gains to 98.82, retreats towards potential support $98.40
- Markets brace for volatile Friday amidst upcoming speeches by Powell and Trump.
Markets have priced in 85%-75% chances of a 25 basis points rate cut in September meeting and J Powell's remarks will be closely monitored for dovish or hawkish messages from Jackson Hole Symposium in Wyoming.
Gold is trading sideways as momentum is affected by price stability below 4 hourly 50 EMA $3341.
Markets remain cautious ahead of upcoming high voltage speeches by Fed Chair J Powell and US President Donald Trump during US session and the metal retested horizontal support $3325 aligned with descending trendline support, followed by weak rebound attempts capped by immediate hurdle $3336.
If Gold breaks below $3325, next support is positioned at $3320 followed by $3312 below which the metal is likely to drop to $3305 - $3292.
On the stronger side, a consolidated break above $3336 will face immediate hurdle at 4 hourly 50 EMA $3341 above which next resistance zone sits at 4 Hourly 200 SMA $3349.60 followed by 100 SMA $3352.
Bulls need to reclaim $3352 followed by $3358 for extension of bullish rebound which eventually targets major descending trendline resistance $3385.
Author
Sunil Kumar Dixit
SK Charting
Sunil Kumar Dixit is Chief Technical Strategist and founder of SK Charting, a research firm based in India. He tracks Precious Metals, Energy, Indices and Currency Pairs. He also participates as an expert panellist on Channel Television, Nigeria.
