FX.co ★ Analysis of Gold for January 22,.2021 - Strong downside rotation today and potetnial for test of $1.824

Manufacturing PMI 54.7 vs 54.4 expected

• Composite PMI 47.5 vs 47.6 expected

Another divergence between manufacturing and services which makes sense as the social (services sector) is more vulnerable to COVID-19 transmission. EURUSD unfazed on this and the coming vaccine will mean all this will be looked through in the big picture.

Further Development

Analyzing the current trading chart of Gold, I found that there was a strong downside rotation due to overbought condition but that support is near the active price.

1-Day relative strength performance Finviz

Based on the graph above I found that on the top of the list we got VIX and Feeder Cattle today and on the bottom Wheat and Crude Oil.

Key Levels:

Resistance: $1,857

Support levels:$1,832-$1,823.