9.12 FPG Gold Trend Analysis

XAUUSD H4

The CPI data for August in the usa was released last night, recording 2.5%, lower than market expectations. CPI has been declining for five consecutive months, reaching its lowest level since February 2021. After the data was released, the market significantly reduced the expectation of a 50 basis point rate cut in the interest rate decision six days later, believing that the cooling of inflation is not enough to support a substantial rate cut by the Federal Reserve, and that a more moderate approach to starting a rate cut cycle will be taken. According to CME's data this morning, the market's expectation for a 50 basis point rate cut by the Federal Reserve has decreased from 35% yesterday afternoon to 14%, and the usd index also rose from a low of 101.2 yesterday to 101.8. The rise in the usd index led to a decline in gold.

Technically, before the release of the data, gold made an attempt to touch the upper range mentioned earlier. After reaching a high of 2529, signs of short-term price triangulation appeared during the intraday period. After the data was released, the price of gold fell straight back to the previous mentioned range watershed, touching a low of 2500, and ultimately closing near 2510. The trend of gold is in line with the previous mentioned oscillation in the upper range. Continue to focus on the price fluctuation in the large range of 2530-2470 and the support and resistance near 2500-2508, which divides the large range into the upper and lower parts. PPI producer price index will be announced tonight, which may have a significant short-term impact on gold.

Upper first resistance at 2510, second resistance at 2520, third resistance at 2530.

The lower support is at 2508, the second support is at 2500, and the third support is at 2493.

# This advice is only general advice and does not take into account your specific financial situation and needs. Investment involves risk, so please evaluate it carefully. #