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Asia – Commodities Fundamental & Technical Forecast | 23 August 2023

Gold (XAU)

Key news events today

No major news events.

What can we expect from Gold today?

After hitting a low of $1,890/oz yesterday, gold prices bounced quite strongly to hit the key $1,900-level. Should demand for the US dollar continue to wane, gold could finally manage to stay above this threshold.


The XAUUSD chart indicates a bullish momentum, suggesting a prevailing upward trend.

Within this context, a potential scenario arises in which the price might experience a bearish reaction at the 1st resistance level, followed by a drop to the 1st support in the short term, before eventually rising back towards the 1st resistance.

The significance of the 1st support at 1885.57 lies in its identification as a multi-swing low support, potentially providing a foundation for a temporary price recovery.

On the resistance side, the 1st resistance at 1901.87 is noteworthy due to its classification as an overlap resistance and its alignment with a 23.60% Fibonacci Retracement. Additionally, the 2nd resistance at 1913.19 is identified as an overlap resistance, adding to its potential impact on price movement.

These factors contribute to the potential scenario of a bearish reaction followed by a short-term drop to the 1st support, eventually leading to a rise back towards the 1st resistance level, in alignment with the overall bullish momentum observed on the chart.

Next 24 Hours Bias

Weak Bullish


Key news events today

EIA Crude Oil Inventories (2:30 pm GMT)

What can we expect from Oil today?

After last week’s drawdown of over 6M barrels, API stockpiles fell by 2.4M which was slightly lower than the estimate of a 2.9M-barrel decline. Crude prices were already falling prior to this news release with WTI oil dropping to $79.40 per barrel in the aftermath. The upcoming EIA inventories are expected to decline 2.3M and higher drawdown could provide some lift to crude oil prices.


The WTI chart currently indicates a bearish momentum, suggesting a prevailing downward trend. There is potential for price to continue its downward movement towards the 1st support level at 78.83.

The significance of the 1st support at 78.83 lies in its identification as an overlap support that aligns with the 127.20% Fibonacci extension level. Similarly, the 2nd support at 76.90 is also identified as an overlap support that aligns with the 161.80% Fibonacci extension level.

To the upside, the 1st resistance level at 81.44 is noted as an overlap resistance that aligns with the 50.00% Fibonacci retracement level. The 2nd resistance at 83.15 is identified as a pullback resistance that aligns with the 78.60% Fibonacci retracement level.

Next 24 Hours Bias

Weak Bearish