Gold Rejects Key Support at $1,782 mark, Markets Eye U.S. PPI Data; Aug 11, 2022

U.S. PPI & Core PPI data

The key event of the day will be U.S. PPI/Core PPI and Unemployment Claims Weekly data scheduled at 1230 GMT/1800 IST. PPI (Producer Price Index) is a leading indicator of consumer inflation – when producers charge more for goods and services the higher costs are usually passed on to the consumer. If ‘Actual’ results are greater than ‘Forecasted’, it is good for currency.

Let’s see how Gold has reacted during the previous data release:

July 14:

June 14:

Technical View:

XAU/USD (Gold):

  • Gold enjoys roller coaster movement ahead of U.S. PPI data and hovers around $1,790 mark.
  • The pair made intraday high at $1,793 and Low at $1,783 mark.
  • A day chart and H1 chart with triple EMA suggest bearish trend for the time being.
  • A sustained close above $1,794 on H1 chart requires for the upside rally.
  • Alternatively, a consistent close below $1,781 on H1 chart will test further supports.

Take a look and do trade wisely!
Good Luck