This week, key economic events are expected to affect the gold market. The article examines support and resistance levels, as well as price forecasts for gold.
Key Economic Events of This Week
Significant U.S. economic reports are scheduled for release this week that are expected to impact the gold market.
**Thursday, July 24 – Unemployment Claims**
A higher-than-expected number of jobless claims (228K vs. 221K) indicates a weakening labor market, which could devalue the USD and boost gold prices.
**Thursday, July 24 – Flash Manufacturing PMI & Flash Services PMI**
PMI showed a slight decline in industrial activity (52.7 vs. 52.9).
Gold may be favored as a safe-haven asset if the Flash Services PMI also exhibits weakness. However, a significant increase in unemployment claims might counteract some of the dollar's strength and provide short-term support to gold.
Gold HTF Overview
The monthly overview of gold remains unchanged, targeting the $3435 level again. After reaching this level, some bearish momentum might be observed in gold. Until then, gold is expected to remain bullish according to the monthly time frame.
Gold Forecast for the Week
Two zones on the 4-hour chart indicate where to buy gold.
The nearest zone is in the area of $3344-3333, where gold could test and rise to $3377 and beyond.
If gold opts for a deeper retracement, the $3308-3383 zone would be ideal for buying due to its significance as the swing low.
For selling, a clear supply zone is identified on the 1-hour chart at $3380-3394, which may encounter selling pressure.
This week, gold could show both buying and selling opportunities. Lower time frames suggest selling, while higher time frames still favor buying.
