Today’s outlook for XAUUSD is bullish, building upon the strong momentum established in the weekly and monthly scans. The recent dovish turn from the Federal Reserve, coupled with persistent geopolitical and economic uncertainty, continues to fuel gold’s rally. The yellow metal is consolidating near its recent highs, with a strong underlying bullish sentiment as markets anticipate a potential September rate cut. The key driver for today’s price action will be the release of crucial US economic data, which could either validate or challenge the current market narrative.

Changes to Weekly Outlook

The weekly outlook, which was already bullish, has been strengthened by recent developments. The most significant factor is the market’s reaction to the Fed Chair’s dovish comments at the Jackson Hole Symposium. His shift in focus from inflation to the job market has significantly increased the probability of a September rate cut, a highly favorable scenario for non-yielding assets like gold. This has provided a strong catalyst for gold’s rally from its recent low of $3,362. The previous outlook remains intact, but the conviction has increased due to this new monetary policy signal.