Despite the strong consolidation, the long-term outlook for gold remains strongly bullish. Central bank buying and ongoing geopolitical risks continue to support elevated price levels. Moreover, the fears of new tariffs and global tensions maintain gold’s role as a hedge. These factors could cushion further downside and renew interest in any pullback.
Meanwhile, comments from Fed Governor Kugler warned against cutting rates too soon. This stance limits gold’s upside in the near term, as higher rates reduce its appeal. However, with tariff impacts rising and global uncertainty persisting, gold may regain strength if risk sentiment shifts again.
Gold Technical Analysis
XAUUSD Daily Chart – Ascending Triangle Pattern
The daily chart for spot gold shows that the price is consolidating at the edge of an ascending triangle. Interestingly, the $3,320 support area also aligns with the 50-day SMA, where the price is seeking its next direction. The RSI is consolidating near the midline, reflecting price uncertainty. A break below the $3,200 level may trigger further downside movement toward the $3,000 region, while a break above $3,450 would indicate further upside potential.
