XAU/USD tests above $2,100 as markets bet on June Fed rate cut

Spot Gold prices are on the rise on Monday.
Markets are expecting Fed rate cuts after middling data.
XAU/USD pushes back into all-time high territory.

Joshua Gibson FXStreet

XAU/USD rose above $2,100.00 on Monday as markets lean into Spot Gold bids. Investors are ramping up bets of a June rate cut from the Federal Reserve (Fed) after US economic data middled to softened last week.

Markets are jostling into risk-taking position ahead of this week’s key US Nonfarm Payrolls (NFP) report coming up on Friday. Traders will be looking for a softer labor figure to add to the rate cut puzzle, and broad-market hopes for a weakening US economic outlook are crystallizing into XAU/USD buying.

This week also sees the US ADP Employment Change for February as a labor data preview of Friday’s NFP, albeit one with a shaky connection in recent history. Fed Chairman Jerome Powell will also be speaking on Wednesday, testifying before the Financial Services Committee about the Semi-Annual Monetary Policy Report beginning at 15:00 GMT.

US economic data will kick the week off with Tuesday’s ISM Services Purchasing Managers Index for February, expected to soften to 53.0 from January’s 53.4.

XAU/USD technical outlook

Spot Gold is extending last Friday’s gains, tipping over the $2,100.00 handle in the early week’s trading. XAU/USD is up over a full percent bottom-to-top on Monday, and intraday bids are accelerating into the high end away from the 200-hour Simple Moving Average (SMA) at $2,038.89.

Daily candlesticks are on approach to all-time highs set in December at $2,144.48, and XAU/USD has climbed around 4% from last week’s low bids near $2,025.00.

XAU/USD hourly chart

XAU/USD daily chart

XAU/USD

Overview
Today last price	2102.47
Today Daily Change	18.90
Today Daily Change %	0.91
Today daily open	2083.57

Trends
Daily SMA20	2026.34
Daily SMA50	2033.89
Daily SMA100	2014.23
Daily SMA200	1968.76

Levels
Previous Daily High	2088.39
Previous Daily Low	2039.12
Previous Weekly High	2088.39
Previous Weekly Low	2024.57
Previous Monthly High	2065.49
Previous Monthly Low	1984.26
Daily Fibonacci 38.2%	2069.57
Daily Fibonacci 61.8%	2057.94
Daily Pivot Point S1	2052.33
Daily Pivot Point S2	2021.09
Daily Pivot Point S3	2003.06
Daily Pivot Point R1	2101.6
Daily Pivot Point R2	2119.63
Daily Pivot Point R3	2150.87

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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