Intraday Analysis – Gold struggles for support – Orbex Forex Trading Blog

GBPUSD struggles to bounce

Cable turned lower after the US CPI showed an uptick in July. The pair had previously found support over June’s swing low of 1.2600, a major level on the daily chart, as trend followers look to sustain the 11-month long rally. On the hourly time frame, a long spike at 1.2800 is a sign of a strong pressure capping Sterling. As the pair revisits the floor at 1.2600, the RSI’s repeatedly oversold status might attract traders looking to buy the dip, but unless they succeed in lifting 1.2800 the path of least resistance would be down.

XAUUSD tests critical support

Bullion continues lower as the dollar bounces back amid a modest rise in the US inflation print. On the daily chart, the direction is skewed to the upside even though the precious metal is struggling to secure a footing. The price is testing the base of the July rally, the demand zone around the psychological level of 1900. This is a critical floor to keep last month’s rebound valid as a bearish breakout would trigger a deeper correction to 1840. 1932 is the immediate resistance to lift to give the bulls a fighting chance.

NAS 100 hits daily support

The Nasdaq 100 whipsawed as traders wished for a larger slowdown in US inflation. A drop below 15380 next to the 30-day SMA has put short-term bulls on the defensive, triggering profit-taking as suggested by a series of lower lows. July’s bottom coincides with the psychological level of 15000, making it an important level to expect follow-through bids should the uptrend stay intact. A bearish breakout would cause a new round of liquidation and send the index to 14700. The bulls will need to clear 15410 to regain control.

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