XAUUSD: Gold continues to strengthen after completing a correction

Despite positive fundamental forecasts for the US, Gold continues to strengthen, with the growth target at 2,650. More details in our XAUUSD analysis for today, 23 December 2024.

XAUUSD forecast: key trading points

• US Consumer Confidence Index: previously at 111.7%, projected at 112.9%
• Current trend: moving upwards
• XAUUSD forecast for 23 December 2024: 2,650 and 2,595

Fundamental analysis

Gold continues regaining ground against the US dollar, forming a new growth wave.

The CB US Consumer Confidence Index reflects the public’s assessment of economic resilience. This leading indicator projects the level of consumer spending, a vital component of economic activity. A high reading indicates optimism among consumers. The forecast for 23 December 2024 suggests that the index could rise to 112.9 points, reflecting positive consumer sentiment.

Fundamental analysis for 23 December 2024 takes into account that if the actual data on the Consumer Confidence Index is below or in line with the forecast, it could push the XAUUSD rate higher.

XAUUSD technical analysis

Having tested the Bollinger lower band, the price formed a hammer reversal pattern on the XAUUSD H4 chart. At this stage, it continues its upward movement following the reversal pattern signal. This trend will likely develop further since the quotes remain within the ascending channel.

The growth target is currently at the next resistance level, at 2,650. A break above this level could strengthen the ascending wave.

However, before continuing the uptrend, a price correction towards 2,595 is possible. After completing a corrective wave, Gold could reach a new all-time high in the near term.

Summary

Growth in US fundamental indicators may strengthen the US dollar. However, the XAUUSD technical analysis for 23 December 2024 suggests the pair’s potential rise to the 2,650 resistance level.