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Gold Price Forecast: Next on the upside comes $4,245

  • Gold prices briefly climb to two-week highs near the $4,160 level on Tuesday.
  • The US Dollar intensifies its decline, falling to four-day lows amid lower yields.
  • The better tone in the risk-associated universe keeps the yellow metal depressed.

Gold is adding to Monday’s uptick on turnaround Tuesday, trading close to earlier multi-day highs above $4,150 per troy ounce. The move higher comes as the US Dollar (USD) remains under broad pressure and US Treasury yields continuing to drift lower, which is normally a supportive backdrop for the yellow metal.

Meanwhile, the precious metal is still on course to log its fourth straight monthly gain, building on October’s record-setting surge toward the $4,400 area. Momentum has been on its side, but a little air coming out of the market after Monday’s sharp rebound isn’t entirely surprising.

The earlier pullback in bullion seems to be more about the pickup in risk appetite elsewhere. Equities and other risk-linked assets are catching a bid, tempering demand for safe havens.

Still, the bigger picture remains constructive for Gold: Markets are leaning harder into the idea of another Fed rate cut at the December 10 gathering, which should help keep Gold supported on dips.

Right now, traders are pricing in roughly a 76% chance of a December cut and close to 90 basis points of easing by the end of 2026. That’s a meaningful shift in the macro backdrop.

Meanwhile, the Greenback is struggling after a run of disappointing US data: Softer ADP employment numbers, weaker Retail Sales, and a drop in the Conference Board’s Consumer Confidence reading for November. With that mix, it’s hard for the buck to find much of a footing.

Looking ahead, Gold may settle into more of a consolidation phase, especially with US markets heading into the Thanksgiving Day lull on November 27, which typically dampens volatility.

What the techs are pointing to

If buyers regain control, the first upside marker is the November high at $4,245 (November 13), seconded by the all-time top at $4,380 (October 17).

If sellers take the reins instead, the 55-day SMA at $3,968 emerges as a provisional area of support. South from here sits the weekly base at $3,886 (October 28), and then the 50% Fibonacci retracement of the May–October rally at $3,750.

Momentum readings still look constructive: The Relative Strength Index (RSI) is making its way toward 58, and the Average Directional Index (ADX) above 19 suggests the underlying trend is gradually strengthening.

XAU/USD daily chart

Author

Pablo Piovano

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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