Gold (XAU/USD) remains in demand on Thursday, rebounding from the $4,000 mark and trading around $4,035, just shy of its all-time high of $4,060. The yellow metal continues to attract buyers amid lingering geopolitical and economic uncertainties.
Key Drivers:
- Safe-Haven Flows Remain Strong:
The market’s initial optimism following the Israel-Hamas ceasefire has faded, as investors question the durability of the agreement. This has renewed demand for safe-haven assets like gold. - Political Uncertainty in France & Japan:
Ongoing political and fiscal uncertainty in both France and Japan is supporting gold prices, as investors seek protection from market volatility. - Fed Policy Outlook Supports Precious Metals:
Expectations of further interest rate cuts from the Federal Reserve are also providing tailwinds, making non-yielding assets like gold more attractive.
Technical Outlook: Gold Maintains Bullish Momentum
Gold continues to trade above the critical $4,000 support level, showing strength in the ongoing uptrend. The 4-hour RSI remains below overbought territory, suggesting room for further upside.
Key Resistance Levels:
- $4,060 – All-time high (April 2025)
- $4,086 – 161.8% Fibonacci extension (October 2–7 rally)
- $4,100 – Near-term trendline resistance
Key Support Levels:
- $4,000 – Psychological level and October 8 low
- $3,940 – October 7 low
- $3,895 – Previous resistance turned support (October 1–3 highs)
The bullish structure remains intact unless gold decisively breaks below $4,000.
Outlook:
With market sentiment still fragile and global uncertainties unresolved, gold is likely to remain supported in the near term. A clean break above $4,060 could pave the way for fresh record highs toward $4,100 and beyond.