On the 15-minute chart, gold has touched a support zone, established from a previous local low between $3,325 and $3,328. A second failed attempt to break below this area would demonstrate its resilience. If the support holds, the price could target resistance near $3,330. Otherwise, it would drop under $3,320.
The market is in a nail-biting state ahead of Fed Chair Jerome Powell’s speech at the annual Jackson Hole symposium. The US economic outlook remains uncertain, and traders are eager for any clues regarding the future monetary policy path, particularly the potential for a rate cut in September. So far, Fed officials have expressed diverging views on the matter, with some factors in favor of a more dovish stance and others stressing the necessity of keeping current restrictions. This is exemplified by a weakening labor market on one side and persistent inflation on the other.
The Fed faces a dilemma of whether it should cut rates to support employment or to keep them in the same range to curb consumer price growth, which remains above the central bank’s target of 2% and has the potential to rise further due to the Trump administration’s import duties. It is challenging to determine which objective holds greater priority. Powell's speech will occur during the first hour of the US trading session. Until then, the market’s nervousness is likely to bolster gold's appeal as a primary safe-haven asset.
The overall recommendation is to buy gold from the $3,326 level. Profits should be taken at $3,339. Stop Loss could be set at $3,320.
The volume of the open position should be calculated so that the potential loss (protected by a Stop Loss order) does not exceed 1% of your deposit. If your account balance does not allow opening a position of this size, it is better to avoid entering the market on this signal and wait for other trade options that meet low-risk criteria.
This content is for informational purposes only and is not intended to be investing advice.
