depositphotos The price of gold (GLD) attracts some dip-buyers near the $2,379-2,378 region on Wednesday and climbs to a fresh daily peak heading into the European session. The incoming softer US economic data suggested that the world’s largest economy was slowing faster than initially expected. This, in turn, fueled speculations about bigger interest rate cuts by the Federal Reserve (Fed), which acts as a tailwind for the non-yielding yellow metal. Apart from this, concerns about an economic slowdown in China and the risk of a further escalation of geopolitical tensions in the Middle East lend additional support to the safe-haven Gold price. That said, a goodish pickup in the US Dollar (USD) demand, bolstered by a further recovery in the US Treasury bond yields, along with a generally positive risk tone, might keep a lid on any meaningful appreciating move for the XAU/USD. Daily Digest Market Movers: Gold price bulls remain on the sidelines amid modest USD strength, positive risk tone
Technical Analysis: Gold price struggles to move back above $2,400, 50-day SMA pivotal support holds the keyFrom a technical perspective, any subsequent decline might continue to find some support near the 50-day Simple Moving Average (SMA), pegged near the $2,368-2,367 region. This is followed by last week’s swing low, around the $2,353-2,352 zone and the $2,344 area, or the 100-day SMA. Sustained weakness below the latter will be seen as a fresh trigger for bearish traders and pave the way for deeper losses. Given that oscillators on the daily chart have just started gaining negative traction, the Gold price might then accelerate the downfall towards challenging the $2,300 round figure.On the flip side, recovery back above the $2,400 mark is likely to face some resistance near the overnight swing high, around the $2,418 region. Some follow-through buying could lift the Gold price beyond the $2,430 barrier, towards the next relevant hurdle near the $2,448-2,450 horizontal zone. The momentum could extend further towards the $2,468-2,469 region enroute to the all-time peak, near the $2,483-2,484 area touched in July. Bulls might then aim to conquer the $2,500 psychological mark, which if cleared decisively will set the stage for a further near-term appreciating move.More By This Author:EUR/USD Bounces Off 1.0900 Mark, Keeps The Red Amid Modest USD Strength NZD/USD Clings To Upbeat Jobs Data-Inspired Gains To Over Two-Week High, Around 0.6000 Silver Price Analysis: XAG/USD Retakes $27.00 Mark, Upside Potential Seems Limited