#XAUUSD @ 1756.35 -imp levels: Gold price has established above $1,750.00 and is driving higher as DXY slips sharply.

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• Gold price has established above $1,750.00 and is driving higher as DXY slips sharply.
• Fed’s Powell is expected to keep an extremely hawkish stance at Jackson Hole.
• The core PCE data for the second quarter is seen as stable at 4.4%.

The pair currently trades last at 1756.35.

The previous day high was 1755.89 while the previous day low was 1742.51. The daily 38.2% Fib levels comes at 1750.78, expected to provide support. Similarly, the daily 61.8% fib level is at 1747.62, expected to provide support.

Gold price (XAU/USD) is advancing gradually and has recorded a fresh four-day high of $1,756.77 in the Asian session. The precious metal is enjoying bids as the US dollar index (DXY) is witnessing a self-off ahead of the Jackson Hole Economic Symposium. The DXY has displayed a bearish open test-drive session and has declined to near Tuesday’s low at 108.36.

As investors are getting mixed responses from analysts over expected commentary from Federal Reserve (Fed) chair Jerome Powell at Jackson Hole, the FX domain is expected to remain volatile. No doubt, the evidence from data speaks that the price pressures are about to find their peak, and contraction in private sector activities compels the Fed should slow down its velocity of hiking interest rates.

However, the inflation rate still holds above 8% and in order to tame the same, the Fed’s laborious job of hiking borrowing rates is far from over.

Apart from that, investors will focus on the Core Personal Consumption Expenditures (PCE) data for the second quarter, which is expected to remain steady at 4.4%.

On an hourly scale, gold prices are attempting a break above the 38.2% Fibonacci retracement (placed from August 10 high at $1,807.93 to Monday’s low at $1,727.87) at $1,758.40. The precious metal has poked the 200-period Exponential Moving Average (EMA) at $1,756.20. Also, the 50-EMA at $1,748.46 is advancing higher, which adds to the upside filters.

Also, the Relative Strength Index (RSI) (14) has shifted into the bullish range of 60.00-80.00, which indicates more upside ahead.

Technical Levels: Supports and Resistances

XAUUSD currently trading at 1757.78 at the time of writing. Pair opened at 1751.08 and is trading with a change of 0.38 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1770.68, 50 SMA 1769.77, 100 SMA @ 1823.77 and 200 SMA @ 1838.55.

The previous day high was 1755.89 while the previous day low was 1742.51. The daily 38.2% Fib levels comes at 1750.78, expected to provide support. Similarly, the daily 61.8% fib level is at 1747.62, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1743.76, 1736.45, 1730.38
• Pivot resistance is noted at 1757.14, 1763.21, 1770.52

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