Gold Price Bounces Off Session Lows Amid Mixed US Economic Data

The gold price experienced a bounce back on Friday from its session lows of around $4,293 to trade at about $4,402 before pulling back to $4,362. The XAU/USD is currently trading within a descending channel formation on the 60-minute chart.

From a fundamental perspective, the gold price continues to trade slightly below the 100-hour moving average line after the late pullback. This has left it with some room to run before reaching overbought levels of the 14-hour RSI.

The recent economic data from the US market showed mixed results. The preliminary Michigan Consumer Sentiment Index for September fell short of expectations, coming in at 47.8 compared to 51.7 in August. However, the consumer price index ex-food and energy for the month outperformed forecasts with a change of 0.3%.

On the technical side, the gold price trades within a descending channel formation on the 60-minute chart. The bulls will look to extend the latest rebound towards $4,433 or higher, while bears will aim to take profits at about $4,293 or lower.