XAUUSD: Rebound is not a reversal, ready for a sharp drop7.29 Gold Sharing and Trading Strategy
Last Friday, gold rebounded due to PEC data, and the escalation of the conflict between Israel and Lebanon led to an increase in risk aversion, and the price of gold once rushed to $2,400.
However, political risks obviously overshadowed the subsequent Fed interest rate decision. The data reflected by PCE showed that inflation remained strong. Although it was close to the central bank's target level of 2%, the market still hoped that the easing cycle would start in September.
From the 4-hour chart, it can be clearly seen that the current gold is a head and shoulders top pattern. The shoulder position has now been completed, and it is very likely to usher in a plunge here.
From the figure, we can see that referring to the previous trend, the support below will be at 2350, 2320, and 2300, so we can use the previous pressure levels of 2385, 2400, and 2410 to sell
