Gold Price Analysis: Hot CPI Leaves a $4,470 Recovery in Play
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Key Points:
- Gold rose 1.16% in the first hour after August CPI despite a jump in September Fed hike odds, signaling resilience after the selloff.
- Speculative COMEX gold positioning remains crowded at 54.94% of open interest, but historical extremes have not produced a reliable bearish signal.
- XAU/USD now targets $4,470 into the 16 September Fed decision, with a preferred $4,330-$4,350 entry and invalidation below $4,290.
Friday’s CPI selloff touched my previous bearish target band. Then the gold turned. By the end of the first hour it was up 1.16% a response that leaves me unwilling to pursue the remaining $4,280 target. I now favour a recovery toward $4,470 by the Fed’s 16 September decision.