#XAUUSD @ 2,040.06 Gold price is oscillating above $2,040.00 as investors await US Retail Sales. (Pivot Orderbook analysis)

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• Gold price is oscillating above $2,040.00 as investors await US Retail Sales.
• S&P500 settled Thursday’s session on a super-bullish note as fears of abrupt rate hikes cool down after softening of US PPI.
• The retail demand is likely to continue the pace of contraction as shown in February.

The pair currently trades last at 2040.06.

The previous day high was 2028.41 while the previous day low was 2001.45. The daily 38.2% Fib levels comes at 2018.11, expected to provide support. Similarly, the daily 61.8% fib level is at 2011.75, expected to provide support.

Gold price (XAU/USD) is consolidating in a narrow range above $2,040.00 in the early Asian session. The precious metal turned sideways in the New York session after printing a fresh annual high at $2,048.77 in hopes that the Federal Reserve (Fed) is required to take a pause call on the policy-tightening process as early as possible.

S&P500 settled Thursday’s session on a super-bullish note as fears of abrupt rate hikes cool down after softening of United States Producer Price Index (PPI) data, portraying a decent jump in the risk appetite of the market participants.

The US Dollar Index (DXY) refreshed its two-month low at 100.85 as the softened US Consumer Price Index (CPI) joined the heavily decelerated PPI and trimmed consumer inflation expectations dramatically. The USD Index has turned rangebound after a plunge ahead of US Retail Sales data. Contrary to that, demand for US government bonds remained weak despite easing inflation concerns. The yields offered on 10-year Treasury bonds jumped to near 3.45%.

The street is shifting its focus toward the monthly US Retail Sales (March) data. According to the consensus, the economic data will contract by 0.4%. The retail demand is likely to continue the pace of contraction as shown in February as US labor market conditions are cooling down. Also, the banking fiasco has impacted the confidence of households.

Gold price is marching north to test a 13-month high at $2,070.54, which is 08 March 2022 high, plotted on the daily scale. Upward-sloping 10-and 20 period Exponential Moving Averages (EMAs) at $2,010.84 and $1,987.00 respectively, indicating a sheer strength in Gold bulls.

The Relative Strength Index (RSI) (14) is oscillating in the bullish range of 60.00-80.00, showing no signs of divergence and any sign of an oversold situation, cementing more upside ahead.

Technical Levels: Supports and Resistances

XAUUSD currently trading at 2040.0 at the time of writing. Pair opened at 2014.87 and is trading with a change of 1.25 % .

The pair remains strongly bullish on the daily timeframe. It trades above its 20 SMA @ 1978.81, 50 SMA 1903.48, 100 SMA @ 1870.08 and 200 SMA @ 1790.87.

The previous day high was 2028.41 while the previous day low was 2001.45. The daily 38.2% Fib levels comes at 2018.11, expected to provide support. Similarly, the daily 61.8% fib level is at 2011.75, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 2001.41, 1987.95, 1974.45
• Pivot resistance is noted at 2028.37, 2041.87, 2055.33

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