XAU/USD Analysis: Gold Slumps to $2,357.92 Amid Strong US GDP Growth
- US GDP beats expectations in Q2, sparking stock market rally
- XAU/USD may drop to $2,300 as market sentiment turns bearish
Gold prices are under pressure as the US economy shows signs of strength, with GDP growing at an annualized pace of 2.8% in the second quarter. This positive data has boosted the US Dollar against Gold, pushing XAU/USD to a multi-week low of $2,357.92. The upbeat economic indicators have also led to speculation that the Fed may cut rates in September, further impacting the precious metal’s value.
While the technical outlook for XAU/USD remains bearish, with key support levels at $2,347.20, $2,332.50, and $2,318.40, resistance levels are seen at $2,366.30, $2,381.90, and $2,395.20. The 4-hour chart shows a strong bearish trend, with technical indicators pointing towards further downside potential. It is important for investors to closely monitor these levels and indicators to make informed decisions about their gold investments.