Technical Analysis: XAUUSD

XAUUSD hit new all-time high

On Monday, XAUUSD hit a new record high of $2,634.88 per ounce. It ended up 0.22% at $2,627.65 per ounce.

Several Fed officials confirmed they will continue to cut interest rates

On Monday, Chicago Fed President Goolsby said more rate cuts may be needed in the coming year and that interest rates will need to fall significantly. The unemployment rate is trending upward but remains low.

Atlanta Fed President Bostic said that the 50 basis points rate cut at this meeting did not "lock in" the pace of future rate cuts.

Minneapolis Fed President Neel Kashkari said the Fed is expected to take smaller interest rate cuts in the future and will cut interest rates twice more this year, each time by 25 basis points.

Tensions rose again in Middle East

On Monday, tensions in the Middle East intensified again, which increased risk aversion in the market and boosted gold higher.

Technically speaking, the bullish market trend prevailed

the Chart of the Day

On the chart of the day, XAUUSD continued to rise. The bullish market trend prevailed. In terms of technical indicators, KDJ went upwards after golden cross occurred, showing that XAUUSD will rise further. Investors should focus on whether XAUUSD will break through the resistance at 2650. The upper resistance will be around 2680 if it breaks above the resistance at 2650.

4-hour chart 

On the 4-hour chart, XAUUSD was prone to fluctuation and climbed. The bullish market trend prevailed. In terms of technical indicators, MACD went upwards after golden cross occurred, showing that the market trend is bullish. Investors should focus on whether XAUUSD will break through the support at 2614. It will rise further if it retreats but is capped at 2614.   

Key resistance: 2650,2680

Key support: 2614,2600

Generally speaking, boosted by positive factors, XAUUSD is more likely to rise further. Investors should focus on US economic data during the day.