Thoughts on XAUUSD ahead of CPI
Watching $XAUUSD closely here. We've seen a pretty consistent bounce off the $2300 level over the past few sessions, and it seems to be forming a bit of a base. My concern, however, is if we get a hotter-than-expected CPI print; a decisive close below $2290 could quickly invalidate this short-term support and open the door for a deeper correction towards $2250, given how much the market has already priced in disinflationary trends. Conversely, a soft print could give it the push it needs to challenge the $2340 resistance.
That's a valid concern. I'm also watching that $2290 level. A hot CPI could definitely break support and accelerate the downside given the recent price action.