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Gold Gains Persist on Technical Support — All Eyes on $3400 7/8/2025

Gold continues its steady upward movement, maintaining bullish momentum in line with the positive outlook presented in the previous report. The metal has gradually approached the projected target of $3,390, recording a session high of $3,385 per ounce.

Technical Outlook:

After testing the $3,385 resistance level, gold experienced a brief intraday pullback, reflecting short-term profit-taking. Nonetheless, the broader uptrend remains intact, supported by price stability above the 50-period Simple Moving Average (SMA), which acts as dynamic support. Additionally, the key support zone at $3,365 continues to hold, reinforcing the potential for renewed upward movement.

The Relative Strength Index (RSI) has exited overbought territory and is showing signs of recovery, suggesting potential for a fresh bullish push.

Likely Scenario:

As long as gold holds above the $3,365 support level, the positive outlook remains valid. A confirmed breakout above $3,390 would likely act as a bullish catalyst, with upside targets at $3,400 and $3,410.

Alternative Scenario:

A clear break below $3,363, especially on a closing basis, may trigger a temporary corrective move, targeting the next support at $3,347.

Warning:
Risk remains elevated amid ongoing geopolitical and macroeconomic uncertainty. Sharp price movements are possible, and traders are advised to maintain disciplined risk management strategies.

Disclaimer: Trading in CFDs involves risks, and all scenarios are possible. This analysis is not investment advice but rather an interpretation of the current technical landscape for gold.

S1: 3363.00R1: 3390.00
S2: 3347.00R2: 3401.00
S3: 3336.00R3: 3417.00

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