During Thursday’s Asian session, Gold Price (XAU/USD) struggled to hold onto the previous day’s bounce off short-term critical support. As a result, as of the time of publication, the price of gold was undecided at $1,818.

The previous day, gold fell to its lowest levels in two weeks as the key central bankers persisted in their resolve to combat the inflation problems, even at the expense of a short-term economic downturn.

Jerome Powell, the chairman of the Fed, mostly reiterated his most recent commitment to fighting inflation and his preparedness to announce another 0.75 percent rate hike if necessary. The Fed Chairman also commended the US economy’s resilience and contributed to the US dollar’s continued strength. On the other hand, ECB President Christine Lagarde hinted that there might be a larger rate increase in September while also anticipating strong growth rates.

Technically, today’s daily bar chart for August gold futures prices indicated a marginally bearish “outside day” downward. In the short run, bears hold the technical edge overall. The recent sideways and choppy trading action, however, at lower price levels, is pointing to a possible market bottom. The next upward price target for the bulls is to achieve a closing over strong resistance at the June high of $1,882.50. The next short-term downside price target for bears is to drive futures prices below strong technical resistance at $1,800. Reported by Kitco.

First resistance is seen at today’s high of $1,834 and then at this week’s high of $1,842. First support is seen at today’s low of $1,810 and then at the June low of $1,806. Investment is risky, so investors need to set stop-loss function.

Analyst: Ms. Teang Riya, Independent Analyst