XAUUSD Analysis and Trend - 12th June 2024


On June 7th, 2024, the XAUUSD market experienced a significant downturn, dropping approximately 101 points from 2389 to 2286. This decline was attributed to the announcement from the Central Bank of China regarding the cessation of gold purchases. Prior to this event, the XAUUSD trend exhibited fluctuations with both upward and downward movements, ranging from 2369 to 2388 and subsequently from 2388 to 2334, resulting in a net change of +19 and -54 points, respectively.


The release of negative data pertaining to Nonfarm Payrolls (May), Private Nonfarm Payrolls (May), Average Hourly Earnings (MoM) (May), and Average Hourly Earnings (YoY) (May) further exacerbated the downward trend in the gold market. Conversely, the positive Unemployment Rate (May) data failed to counterbalance the overall negative sentiment. This data influenced market sentiment, with expectations that the Federal Reserve would not implement a rate cut in the upcoming meeting due to the boost in the downward trend following the Nonfarm Payroll data release.


Following the downturn, on June 10th and 11th, 2024, the XAUUSD market witnessed a reversal from its low point of 2286, closing at 2316 on June 11th. 


Moving forward to June 12th, 2024, significant economic indicators such as CPI (YOY) and CPI (MOM) are scheduled to be released, coinciding with the Federal Reserve Meeting. Market expectations are centered around the anticipation that the Federal Reserve will maintain the current interest rate of 5.50%. The trend in the gold market is expected to be influenced by the CPI data, with heightened volatility anticipated throughout the intraday trading session.



Pivot Point: 2311

R1: 2325

R2: 2333 

R3: 2347 

S1: 2303

S2: 2289

S3: 2280