Aayush Jindal
Key Highlights
- Gold started a fresh rally above the $3,500 resistance.
- A major bullish trend line is forming with support at $3,460 on the 4-hour chart.
- WTI Crude Oil prices could recover if there is a close above $66.65.
- GBP/USD dipped below the 1.3450 support zone.
Gold Price Technical Analysis
Gold prices formed a base above $3,320 and started a fresh increase against the US Dollar. It cleared many hurdles near $3,400 and $3,450.
The 4-hour chart of XAU/USD indicates that the price settled above the $3,440 level, the 100 Simple Moving Average (red, 4 hours), and the 200 Simple Moving Average (green, 4 hours). The upward move was such that the price spiked above $3,540.
Gold is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $3,311 swing low to the $3,540 high. On the downside, initial support is near the $3,465 level and a bullish trend line.
The first key support is $3,450. The next major support is near the $3,435 level. A downside break below $3,435 might call for more downsides. The next key zone to watch could be $3,410 and the 50% Fib retracement.
On the upside, immediate resistance is near the $3,550 level. The next major resistance sits near the $3,560 level. A clear move above $3,560 could open the doors for more upside. In the stated case, the bulls could aim for a move toward $3,580, above which the price could rally toward the milestone level of $3,600.
Looking at WTI Crude Oil, the price shows signs of recovery, but the bulls need to push it above $66.65 in the near term.
Economic Releases to Watch Today
- Euro Zone Services PMI for August 2025 – Forecast 50.7, versus 50.7 previous.
- UK Services PMI for August 2025 – Forecast 53.6, versus 53.6 previous.
- Fed's Kashkari speech.
- Fed's Beige Book.
- Fed's Musalem speech.
