GOLD → Consolidation is narrowing. The calm before the storm

RLinda Updated   
FX:XAUUSD   Gold Spot / U.S. Dollar
XAUUSD is holding strong, yesterday's economic news also supported the price. The price of metal forms numerous retests of resistance, as well as forms a pre-breakdown consolidation.

The complexity of the situation is that we have a very narrow range and within this range the market maker will gain liquidity by any means, but sometimes there are prerequisites that do not guarantee, but hint at a possible movement in one direction or another. Numerous retests of resistance and absence of fall after false breakdown of resistance with the subsequent return to the test and formation of pre-breakdown consolidation tell us that the market is ready for growth. But! Today is the news! Be careful!
A break of resistance and the level of 2037.1 will form a phase of realization, in this case the price can realize the impulse to 2044-2048. But, if the price falls and breaks 2031, the overall structure will be broken.

Resistance levels: 2037.1, trend resistance
Support levels: 2034, 2031

Strong consolidation is forming on H4. Breakout of one of the boundaries will form a strong impulse. Now there are prerequisites for the breakout of resistance, it will happen only if there is a signal for the breakout and further confirmation. We continue to wait


Regards R. Linda!
As for the expected news.
In general, analysts expect negative news for the dollar, which can be quite positive for gold.
Yesterday we got a negative GDP and it can be a prerequisite that in general the politics in the US is not very good now.

Technically, the dollar is forming a prerequisite for a possible break of 103.7 and a fall. (The long-shadow candle is a shakeout and capture of bullish liquidity before the fall. (theoretically)

As for Initial Jobless Claims, analysts are expecting an increase in claims and that is logical at this stage.
CPI will reflect the formal level of inflation, and as we remember, the past data shows a worsening situation.
Bottom line. A worse-than-expected performance may drop the dollar, while a better-than-expected performance will strengthen it, which will affect the forex and gold prices.
Trade active:
US - Initial Jobless Claims = 215k (expected 209k / previously 201k)


m/m = +0.3% (expected +0.3% / previously +0.2%)
y/y = +2.4% (expected +2.4% / earlier +2.6%)

Overall, this is a bearish scenario for the dollar and a bullish scenario for gold, and the forex market.

We were ready for this
Gold holds steady after slight correction
Trade active:
Price is consolidating between 2048 - 2044.
The accumulation of potential before further movement in one or another direction is formed.
Breakout of 2048 and consolidation above the level will send the price upward
Breakout of 2044 and consolidation below the level will send the price downwards.
Trade closed: target reached:
All targets reached!



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