#XAUUSD @ 1664.18 Gold price is accelerating towards $1,680.00 as the DXY has extended its losses. (Pivot Orderbook analysis)

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• Gold price is accelerating towards $1,680.00 as the DXY has extended its losses.
• A consecutive decline in the US GDP numbers weakened the DXY.
• US core PCE price index is expected to advance by 10 bps to 4.7%.

The pair currently trades last at 1664.18.

The previous day high was 1664.93 while the previous day low was 1641.59. The daily 38.2% Fib levels comes at 1656.01, expected to provide support. Similarly, the daily 61.8% fib level is at 1650.51, expected to provide support.

Gold price (XAU/USD) is aiming to test the critical hurdle of $1,680.00 amid ongoing weakness in the US dollar index (DXY). The precious metal extended its recovery after sustaining above $1,650.00 and is expected to remain in the grip of bulls ahead. The yellow metal concluded its corrective move towards $1,640.00 and got strengthened after the US Gross Domestic Product (GDP) remained in line with the projections.

The US GDP has consecutively declined by 0.6% on an annualized basis. It seems that the consequences of the bigger rate hikes by the Federal Reserve (Fed) have started showing their true colors. Bets were rising over a possible recession situation in the US but got vanished after the commentary from San Francisco Fed chief Mary Daly.

Fed policymaker believes that the central bank is needed to drop focusing on generating more employment to tame the galloping inflation and not a recession, as reported by Reuters.

Going forward, the US core Personal Consumption Expenditure (PCE) price index data will remain in focus. The economic data is expected to improve to 4.7% vs. the prior release of 4.6%. A higher-than-expected figure could propel the DXY to sum up its correction sooner.

Gold prices have entered the prior balanced area, which is placed in a range of $1,653.30-1,692.00 on an hourly scale. The balanced area indicates the highest auction region where most of the trading activity took place.

It is worth noting that the gold prices have crossed the 50-and 200-period Exponential Moving Averages (EMAs) while the EMAs have not displayed a crossover yet. This signals the strength of the upside momentum.

Adding to that, the Relative Strength Index (RSI) (14) has shifted into the bullish range of 60.00-80.00, which illustrates a continuation of upside momentum.

Technical Levels: Supports and Resistances

XAUUSD currently trading at 1663.37 at the time of writing. Pair opened at 1660.59 and is trading with a change of 0.17 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1681.83, 50 SMA 1726.31, 100 SMA @ 1767.12 and 200 SMA @ 1825.35.

The previous day high was 1664.93 while the previous day low was 1641.59. The daily 38.2% Fib levels comes at 1656.01, expected to provide support. Similarly, the daily 61.8% fib level is at 1650.51, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1646.48, 1632.36, 1623.14
• Pivot resistance is noted at 1669.82, 1679.04, 1693.16

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