|premium|

Gold Price Forecast: XAU/USD comfortable around $2,910

XAU/USD Current price: $2,915.67

  • Expectations about upcoming US President Donald Trump announcement lifted the mood.
  • The United States will publish January Retail Sales on Friday.
  • XAU/USD stable above $2,900 and with scope to retest its record high.

Spot Gold keeps grinding higher on Thursday, currently trading at around $2,920 a troy ounce. Financial markets turned optimistic in early Asia session amid hopes the conflict between Russia and Ukraine could come to an end with the intervention of the United States (US).

Risk appetite was further fueled by market talks pointing at US President Donald Trump announcing gradual tariffs later in the day. Trump imposed 25% tariffs on all steel and aluminium imports to the country at the beginning of the week and anticipated another round of levies to be announced later today. CNBC reported that such fresh tariffs would not come into effect today, adding that there would be a delay of “some months.”

Meanwhile, Trump announced through social media that he will give a news conference on reciprocal tariffs today at 13:00 EST or 18:00 GMT.

Data-wise, market players ignored higher-than-anticipated US Producer Price Index (PPI) data. Inflation at wholesale levels rose by 0.4% on a monthly basis in January, vs the 0.3% anticipated by market players. From a year earlier, the PPI was up 3.5% against expectations of a 3.2% advance. Initial Jobless Claims, on the other hand, rose by less than expected, up 213K in the week ended February 7. On Friday, the macroeconomic calendar will include January US Retail Sales.

XAU/USD short-term technical outlook

The XAU/USD pair has recovered its bullish tone, posting a higher high and a higher low on a daily basis. The same chart shows technical indicators consolidate within overbought territory, somehow hinting at a corrective slide yet far from confirming it. Finally, the pair keeps developing above all its moving averages, with a bullish 20 Simple Moving Average (SMA) advancing beyond the 100 and 200 SMAs while providing mid-term dynamic support at around $2,808.30.

In the near term, and according to the 4-hour chart, the risk skews to the upside. The XAU/USD pair is finding intraday support at around a mildly bullish 20 SMA, currently at $2,904.60. The 100 and 200 SMAs, in the meantime, keep advancing far below the shorter one. Finally, technical indicators turned north within positive levels, favoring another leg north.

Support levels: 2,904.60 2,889.80 2,872.30

Resistance levels: 2,925.10 2,942.50 2,960.00

Premium

You have reached your limit of 3 free articles for this month.

Start your subscription and get access to all our original articles.

Subscribe to PremiumSign In

Author

Valeria Bednarik

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

More from Valeria Bednarik
Share:

Editor's Picks

EUR/USD flat lines below 1.1900; divergent Fed-ECB expectations offer support

The EUR/USD pair struggles to capitalize on the overnight bounce from the 1.1835-1.1830 region and oscillates in a narrow band during the Asian session on Thursday. Spot prices currently trade around the 1.1875 area, remaining nearly unchanged for the day and staying within striking distance of an over one-week high, reached on Tuesday, amid mixed cues.

GBP/USD slips heading into the Thursday trading window

The Pound Sterling pulled back from four-year highs on Wednesday, weighed down by a combination of Bank of England dovishness and UK political uncertainty, even as the US Dollar weakened on soft labor market revisions. 

Gold holds losses near $5,050 despite renewed USD selling

Gold price trades in negative territory near $5,050 in Thursday's Asian session. The precious metal faces headwinds from stronger-than-expected US employment data, even as the US Dollar sees a bout of fresh selling. All eyes now remain on the next batch of US labor statistics. 

Crypto trades through a confidence reset

The cryptocurrency market is navigating a liquidity-driven reset rather than a narrative-driven rally. Bitcoin, Ethereum and major altcoins remain under pressure even as new exchange-traded fund filings continue and selected inflow days appear on the tape.

The market trades the path not the past

The payroll number did not just beat. It reset the tone. 130,000 vs. 65,000 expected, with a 35,000 whisper. 79 of 80 economists leaning the wrong way. Unemployment and underemployment are edging lower. For all the statistical fog around birth-death adjustments and seasonal quirks, the core message was unmistakable. The labour market is not cracking.

XRP sell-off deepens amid weak retail interest, risk-off sentiment

Ripple (XRP) is edging lower around $1.36 at the time of writing on Wednesday, weighed down by low retail interest and macroeconomic uncertainty, which is accelerating risk-off sentiment.