On Friday, the gold price pulled back from the session highs of about $5,123 to trade at about $5,036 after the latest US data. The XAU/USD trades within a descending channel formation in the 60-minute chart.

The price of the yellow metal has now fallen to trade a few levels below the 100-hour moving average line. As a result, it is on the verge of entering the oversold levels of the 14-hour RSI.

Gold Price Fundamentals Overview

From a fundamental perspective, the XAU/USD trades during a relatively busy period in the US market. On Friday, the preliminary Michigan Consumer Sentiment Index for March outperformed the expectation of 55, with a reading of 55.5. The preliminary annualized US gross domestic product for Q4 fell short of the forecasted change of 1.4%, with a change of 0.7%. JOLTS job openings for January also exceeded the forecast of 6.7 million, with a tally of 6.946 million, up from 6.55 million in December. 

On the other hand, personal income for January missed the expected change of 0.5%, with a change of 0.4%, while personal spending beat the forecast of 0.3%, with a change of 0.4%.

Elsewhere, personal consumption expenditures – price index for January fell short of the forecasted rate of 2.8%, with a rate of 2.8% (YoY). The (MoM) equivalent matched the expectation of 0.3%. The personal consumption expenditures – price index for the period was also in line with the (MoM) and (YoY) forecasts of 0.4% and 3.1%, respectively. 

Durable goods orders for January missed the expected change of 1.2%, with a change of 0%. The durable goods orders ex-transportation also fell short of 0.5%, with a change of 0.4%.

Gold Price Technical Analysis (the 60-min Chart)

Technically, the gold price trades within a descending channel formation in the 60-minute chart. The 14-hour RSI also supports a bearish bias as it edges closer to oversold conditions.

Therefore, the bears will look to stretch the latest pullback towards $4,944 or lower to $4,841. On the other hand, the bulls will look to pounce on rebounds at about $5,123 or higher at $5,227.

Gold Price Technical Analysis (the Daily Chart)

In the daily chart, the price of the yellow metal trades within an ascending channel formation. However, the 14-day RSI has recently pulled back to recover from overbought conditions.

Therefore, the bears will look to stretch the latest pullback towards $4,650 or lower to $4,264. On the other hand, the bulls will look to pounce on profits at about $5,423 or higher at $5,809.