Fundamental analysis of XAU/USD

The gold price, expressed in the XAU/USD pair, has been experiencing some volatility lately. Gold is consolidating after recovering from two-week highs as market participants look forward to the central bank governor's speech at a symposium in Jackson Hole. Factors affecting the metal's momentum include U.S. Treasury yields and a strengthening U.S. dollar. Bond declines after hitting multi-year highs earlier in the week contributed to the weekly decline in gold prices. 

A combination of favorable U.S. economic and employment data, such as July durable goods orders and other medium-term indicators, will allow top U.S. Federal Reserve officials to maintain tight monetary policy, thereby strengthening the U.S. dollar. Positive sentiment in US-China relations, coupled with expectations of further stimulus measures from China, provided some support to the XAU/USD exchange rate. 
BRICS countries sent various signals about the de-dollarization process and urged gold lovers to pay attention to important developments. Buyers could be attracted back if policymakers signal that the tightening cycle may be over. ECB Chair Christine Lagarde and Fed Chair Jerome Powell were the center of attention at the meeting in Jackson Hole. In particular, gold prices declined slightly on Friday, this was following a drop in US Treasury bond yields. Fed officials said they were satisfied with the latest changes in bond market yields, suggesting that rate hikes could be put on hold. 
Further comments from Fed Chairman Powell could consolidate near the current level or push it towards 1943.00. The strengthening US dollar coupled with hopes associated with Powell's speech paints a picture of stagnation in the market.
  
Technical Analysis and Scenarios:

Given the current data, XAU/USD is showing early signs of an impending bearish momentum, as evidenced by both Awesome Oscillator (AO) and Accelerator Oscillator (AC) indicators signaling in red. Given these bearish indicators, our main scenario suggests a possible price decline in the coming days.
Main scenario (SELL)
Recommended entry level: 1906.00.
Take Profit: 1885.00.
Stop loss: 1915.00.
 
Alternative scenario (BUY)
Recommended entry level: 1922.00.
Take profit: 1931.00.
Stop loss: 1918.00.