Peter Smith
⬤ Gold prices are on fire right now, continuing their explosive climb after bouncing hard from last week's lows. The precious metal has jumped 7.24 percent since Friday, showing just how intense this rally has become. Looking at the intraday chart, you can see XAU pushing aggressively higher and consolidating just under the $4,900 level.
⬤ The breakout above the previous resistance around $4,690 was the turning point. Once gold cleared that barrier, it basically took off with barely any pause, showing incredibly strong upward momentum. Because everything's moving so fast, there isn't much support structure nearby. The closest swing points sit around $4,835 and $4,751, though these are more like brief rest stops during the climb rather than solid support floors.
⬤ As we approach $4,900, the momentum seems to be cooling off just a bit compared to the most vertical part of this move. Recent price action shows some consolidation and overlapping candles, suggesting the market's taking a breath rather than charging straight ahead. Just above where we are now, the big $5,000 psychological level is coming into view, and there's practically nothing in the way between here and there.
⬤ This rapid ascent tells us there's serious conviction behind this move, with traders clearly betting on higher prices. The flip side is that the lack of nearby support means we could see some volatility if sentiment shifts. For now though, the trend is solidly up, and with gold sitting just below major round numbers, the next few sessions could set the tone for whether we consolidate here or make another push toward that $5,000 milestone.
Peter Smith
