The XAU/USD pair continues falling.
The price of gold is pressured by strengthening US Dollar amid increased market expectations that the Fed will proceed with monetary policy tightening and hike interest rates in December.
Yesterday October data on the Consumer Price Indices came out in the US that increased by 0.2% against the previous year. At the same time, the index excluding energy prices grew by 1.9% that comes very close to Fed’s inflation target. Inflation growth is one of the main factors considered before rate hikes, while the target stands at 2%.
Support and resistance
Long positions can be considered after the price consolidation above the strong support level in the area of 1073.00-1078.00.
Support levels: 1064.00.
Resistance levels: 1073.00-1078.00.
Open short positions after the price rebound from the level of 1073.00 with the target at 1054.00 and stop-loss at 1079.00.Publication source