Gold prices (XAU/ USD) edged higher during Asian hours on Thursday, ending a six-day losing streak to a near three-week low. The dollar is in a consolidation phase as traders await the release of the US consumer Price index (CPI) data. This reorientation provides some support for gold.
However, as highlighted by the September FOMC minutes, it seems unlikely that gold prices will move much higher on reduced expectations of aggressive rate cuts by the US Federal Reserve. Rising Treasury yields will likely continue to limit gains and strong buying will be needed to mark the end of gold's recent pullback from all-time highs.
The long-term framework H2 suggests that strong gold sellers will revise downward and continue below $2,600 towards $2,550.
Keep an eye on the trendline resistance area 2625.