Gold Price Analysis: XAU/USD struggling to find momentum above $1,870 after FOMC minutes non-starter

Gold holding onto near-term highs, but bull runs into $1,900 are failing on Wednesday.
XAU/USD set to be exposed to US inflation figures due Thursday with US CPI in the barrel.
Despite a technical ceiling, spot Gold remains well-bid, up nearly 3.5% from last week's lows near $1,810.

Joshua Gibson FXStreet

Gold spot prices find themselves on the high side for Wednesday, up from the day's opening bids around $1,859 with the day's high etched in near $1,877. The Federal Reserve's (Fed) latest meeting minutes failed to spark a notable market reaction, with Fed officials spreading their bets on comments about inflation risks and policy measures.

FOMC minutes: Members agreed rates should stay restrictive for some time

XAU/USD is struggling to find momentum to make a meaningful run into $1,880, and intraday action could see itself constrained into the back end as markets head into Thursday's US Consumer Price Index (CPI) reading.

The US CPI printing on Thursday is expected to see a mild decline from 3.7% to 3.6% for the headline annualized period into September. An upside beat could see a resurgence of inflation concerns in the market, which would see the Greenback (USD) pushed firmly higher once again. For the meantime though, US Dollar flows remain limited, but Gold traders so far remain unable to claim further ground for the XAU/USD today.

XAU/USD Technical Outlook

Gold's minor gain on Wednesday has the pair pushing back to the 50% retracement region of the last top-to-bottom swing on the daily candles, and spot Gold bids are set for a challenge of the 50-day Simple Moving Average (SMA) near the $1,900 handle.

Gold remains notably down from the year's average bids, after XAU/USD's last swing low saw Gold knocking into new lows for 2023. Price action has fallen well below the 200-day SMA currently near $,1925, and the challenge for Gold bulls will be to keep spot prices on-balance and grinding higher as long as US inflation concerns remain subdued.

XAU/USD Daily Chart

XAU/USD Technical Levels

XAU/USD

Overview
Today last price	1872.03
Today Daily Change	11.43
Today Daily Change %	0.61
Today daily open	1860.6

Trends
Daily SMA20	1881.76
Daily SMA50	1904.09
Daily SMA100	1924.97
Daily SMA200	1928.44

Levels
Previous Daily High	1865.39
Previous Daily Low	1853.04
Previous Weekly High	1849.16
Previous Weekly Low	1810.51
Previous Monthly High	1953.01
Previous Monthly Low	1846.37
Daily Fibonacci 38.2%	1857.76
Daily Fibonacci 61.8%	1860.67
Daily Pivot Point S1	1853.96
Daily Pivot Point S2	1847.33
Daily Pivot Point S3	1841.61
Daily Pivot Point R1	1866.31
Daily Pivot Point R2	1872.03
Daily Pivot Point R3	1878.66

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

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