Published on May 1, 2023

Daily Analysis For GOLD (XAU/USD) 01-05-2023

Gold (XAU/USD) Analysis

Economic Events and Scenario for XAU/USD (GOLD)

Economic Events :-

GMT	Event	Impact	Currency
00:00	(Australia) Judo Bank Manufacturing PMI	High	AUD
01:00	(Austria) Labor Day	None	EUR
01:00	(Belgium) Labor Day	None	EUR
01:00	(China) May Day	None	CNY
01:00	(Cyprus) Labor Day	None	EUR
01:00	(Ecuador) Labor Day	None	USD
01:00	(El Salvador) Labor Day	None	USD
01:00	(Estonia) Spring Day	None	EUR
01:00	(Euro Area) Labor Day	None	EUR
01:00	(Finland) May Day	None	EUR
01:00	(France) Labor Day	None	EUR
01:00	(Germany) Labor Day	None	EUR
01:00	(Greece) Labor Day	None	EUR
01:00	(Ireland) May Day	None	EUR
01:00	(Italy) Labor Day	None	EUR
01:00	(Latvia) Labor Day	None	EUR
01:00	(Lithuania) Labor Day	None	EUR
01:00	(Luxembourg) Labor Day	None	EUR
01:00	(Malta) Labor Day	None	EUR
01:00	(Montenegro) Labor day	None	EUR
01:00	(Portugal) Labor Day	None	EUR
01:00	(Spain) Labor Day	None	EUR
01:00	(United Kingdom) May Day Bank Holiday	None	GBP
01:30	(Japan) Jibun Bank Manufacturing PMI	Medium	JPY
02:00	(Australia) TD-MI Inflation Gauge MoM	Low	AUD
02:30	(Australia) ANZ-Indeed Job Ads MoM	Low	AUD
06:00	(Japan) Consumer Confidence	High	JPY
07:30	(Australia) Commodity Prices YoY	Low	AUD
09:00	(Switzerland) Myfxbook USDCHF Sentiment	Medium	CHF
09:00	(Australia) Myfxbook AUDUSD Sentiment	Medium	AUD
09:00	(Japan) Myfxbook USDJPY Sentiment	Medium	JPY
09:00	(European Union) Myfxbook EURUSD Sentiment	Medium	EUR
09:00	(United Kingdom) Myfxbook GBPUSD Sentiment	Medium	GBP
09:00	(Canada) Myfxbook USDCAD Sentiment	Medium	CAD
09:00	(New Zealand) Myfxbook NZDUSD Sentiment	Medium	NZD
14:30	(Canada) S&P Global Manufacturing PMI	High	CAD
14:45	(United States) S&P Global Manufacturing PMI	High	USD
15:00	(United States) ISM Manufacturing Prices	Low	USD
15:00	(United States) ISM Manufacturing New Orders	Low	USD
15:00	(United States) ISM Manufacturing Employment	Medium	USD
15:00	(United States) Construction Spending MoM	Low	USD
15:00	(United States) ISM Manufacturing PMI	High	USD
16:30	(United States) 3-Month Bill Auction	Low	USD
16:30	(United States) 6-Month Bill Auction	Low	USD

Today's Scenario: - The price of gold (XAU/USD) is currently declining towards a significant support level as negative market sentiment boosts demand for the US dollar, causing the price of the precious metal to fall. At present, XAU/USD is trading near its intraday low of around $1,986 as investors remain anxious about the First Republic Bank and await the Federal Reserve's upcoming policy decisions, particularly in light of recent indications of higher US inflation.

Buy Scenario: - The price of gold is currently trading within a range of approximately $30.00, consolidating the gains made from early March to mid-April. The price of XAU/USD is finding support near the $1,980 level, where a six-week-old trend line intersects with the 200-bar Simple Moving Average (SMA). On the other hand, an obstacle to immediate price recovery is represented by a two-week-old downward-sloping resistance line that is currently near $2,007.

The Moving Average Convergence and Divergence (MACD) indicator is showing sluggish signals, and the Relative Strength Index (RSI) line, placed at 14, is holding steady. This suggests that the price of gold may continue to move sideways.

If the XAU/USD bulls manage to overcome the immediate resistance levels at $2,007, they will face multiple hurdles at $2,010 and $2,030 before reaching the recent high of almost $2,050. Till we did not advise to buy XAU/USD.

Selling Scenario: - On the other hand, a downside break of the $1,980 support level would need confirmation from the late March swing low around $1,935 before signaling the arrival of the Gold bears. We do not advise selling XAU/USD.

Support and Resistance Level: -