GOLD - The Hunt for Liquidity Ahead of a Rally

Aug 14

XAUUSD is testing the 4,313 support level as part of a correction. Against the backdrop of a stagnant Dollar Index, the market still has room for further upside



The Dollar Index remains stagnant, but an unstable fundamental and geopolitical backdrop is putting pressure on the dollar and providing support for gold.
Price is correcting after the recent rally, but the fundamental backdrop — including easing rate expectations and geopolitical risks — remains favorable. Buyers are expected to step in on dips.
The key event will be the University of Michigan’s consumer sentiment and inflation expectations data, due later on Friday.
Drivers:
Downside: conflict escalation, rising yields, stronger dollar.
Upside: dip-buying, weaker dollar, easing geopolitical risks

Resistance levels: 4,356, 4,435
Support levels: 4,313, 4,300

Gold maintains its local bullish trend. Within the counter-trend correction, the market is retesting the key liquidity zone at 4,313–4,300 and is bouncing off support.
A close above 4,356 could strengthen the bullish momentum

Best regards,
R. Linda

Aug 15

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