Peter Smith
⬤ Gold prices are staying resilient near historic highs, currently trading in the $4,710 to $4,720 range after a powerful rally. XAU keeps pushing into new territory, with price action firmly anchored above an important demand zone. The market is holding above the psychological $4,700 mark following an impulsive move higher, showing that bullish momentum is still intact.
⬤ The charts highlight a solid demand zone between $4,680 and $4,700, where price previously paused before breaking out. This area has proven to be strong support, with buyers actively stepping in during brief pullbacks. Gold's ability to stay above this zone strengthens the current setup, as there's been no sustained move below $4,700. The $4,700 level continues acting as a near-term anchor point.
⬤ Looking higher, resistance sits around $4,720, with a projected target zone extending toward $4,750-$4,760. The scenario being watched involves gold potentially pulling back toward the demand zone before continuing upward. A successful retest of the $4,680-$4,700 area would support a move toward the upper targets. However, a breakdown below $4,680 would shift the structure and point toward deeper consolidation.
⬤ Gold's behavior near these levels matters beyond just the precious metals market. The yellow metal often reflects broader shifts in risk sentiment and macro uncertainty. When gold holds major psychological and technical levels like these, it can influence sentiment across commodities and related markets. With price consolidating near record territory and clear support and resistance zones in play, how gold moves in the near term could serve as an important gauge for overall market momentum.
Peter Smith
