The Gold price increased significantly before and after the US data was released and has erased the morning losses. It maintains a bullish perspective, despite the last day’s decrease. The retreat was natural after the impressive rally.

Is has decreased after the rejection from a strong dynamic resistance, now is trying to come back to retest the resistance levels before will decide what will do next. Price increased only because the USDX slipped lower in the last hours. USDX climbed as much as 93.36 level, failing to reach a strong dynamic resistance.

USDX could come down to retest a broken dynamic resistance (resistance could turn into support) before will climb much higher. The dollar index is still under selling pressure on the Daily chart, the behavior could change if will stay much above the 91.64 swing low.

The yellow metal dropped in the first part of the day as the Aussie and Kiwi have plunged as well in the morning. The Chinese data have come in mixed, the Manufacturing PMI increased from 51.4 to 51.7 points, beating the 51.3 estimate, signaling that expansion continues. Moreover, the Non-Manufacturing PMI decreased from 54.5 to 53.4 points. The Australian Private Capital Sector Expenditure rose by 0.8%, beating the 0.2% estimate, while the Private Sector Credit increased by 0.5%, matching expectations.

Price rallied and climbed above the 150% Fibonacci line again. Is almost to hit the warning line (WL1), where he could find resistance again. A valid breakout above the warning line (WL1) will confirm a further increase towards the lower median line (LML) of the ascending pitchfork and towards the 1248 static resistance.

The perspective is bullish and will remain the same as long as is trading above the warning line (WL1) of the ascending pitchfork. Technically should climb much higher after the breakout from the extended sideways movement. Price has come back to retest the 23.6% Fibonacci level, but failed because the bulls have stepped in again and have driven the rate towards new highs.