The recent surge may have cooled down, but the broader bullish narrative remains unchanged. The combination of rate reduction expectations, geopolitical risks and defensive assets revolves continues to support gold.
Short-term fixes are healthy and are expected after such a powerful move, but retracements can attract buyers unless the macro conditions shift meaningfully. Long-term gold price forecasts are constructive, supported by solid fundamentals and growing demand for safety.
Technically, removing last week's high at $3057.59 indicates that the upward target is not a good target. The nearest support is a minor bottom of $2832.72 followed by a key pivot of $2770.94. This level represents value, so buyers may step into pullbacks to this price.
Although no headwinds are seen, the market remains vulnerable to short-term fixes, with current prices and a 52-week moving average of $2571.40. This creates a “hot state.” However, unless this indicator is convicted and excluded, the long-term upward trend will remain.
Details of the economic calendar.
