Gold: Bearish below 1722

A brief analysis of the fundamentals:

On Monday (July 18), spot gold rose all the way at the opening, once broke through the 1720 mark and then turned around, and finally closed down 0.02%. Under the support of the Fed’s interest rate hike expectations, the strong dollar has put strong pressure on gold. According to the non-agricultural and inflation data in June, the possibility of the Fed raising interest rates by 75 basis points in this month’s interest rate decision is more than 90%, but a 100 basis point rate hike cannot be ruled out. possible. With such strong tightening expectations, the trend of gold continued to be under pressure, leading to a bleak outlook for gold.

Spot gold XAUUSD 1 hour chart

A brief technical analysis:

Looking at the 1-hour chart, the gold price rebounded from the 1722 resistance level and fell again under pressure. It is currently consolidating around 1700, and the MACD is shrinking near the zero axis, indicating that the market has entered a shock and is about to usher in a new direction. It will continue to be bearish below 1722 within days. Target below 1690-1670

Long and short turning point: 1722.00

Resistance: 1722.00 1750.00

Support level: 1700.00 1670.00

Trading Strategy: Bearish below 1722.00, target 1690.00 1670.00

Alternative strategy: bullish above 1722.00, target 1750.00 1780.00