Gold Price Surpasses $3,300 for the First Time in History
Just six days ago, we highlighted the historic breakthrough of the $3,200 level for the first time. Now, as the XAU/USD chart shows today, the price of an ounce of gold on global exchanges is fluctuating above $3,300.
Bullish sentiment is being driven by a weakening US dollar and rising trade tensions between the United States and China, which are boosting golds appeal as a safe-haven asset. In response to these developments, Goldman Sachs analysts have raised their year-end 2025 forecast to $3,700.
However, technical analysis is beginning to flash some bearish signals.
Technical Analysis of XAU/USD
Using the latest data, we have drawn an ascending channel on the hourly chart that more accurately reflects price action since 8 April. Initially, the price moved within a narrow range, but after breaking the S-line, it found support (indicated by an arrow) at the lower boundary of the channel.
At present, there are signs of fading upward momentum in the gold market, as the price:
is failing to reach the median line (marked with a symbol);
is falling below the lower boundary of the channel.
After a rally of over 26% since the beginning of the year, the market may now be heavily overbought, and a correction could help let off steam. In this case, a test of the $3,250 level cannot be ruled out.
Long-Term Gold Price Forecasts see the article: Analytical Gold Price Predictions for 2025 and Beyond.
Read more: https://fxopen.com/blog/en/oa-gold-price-surpasses-3-300-for-the-first-time-in-history/
Text source: Forex Trading Blog
