Gold Price Analysis: XAU/USD’s weekly close above $1729 keeps buyers hopeful – Confluence Detector

Dhwani Mehta FXStreet

The recovery in Gold (XAU/USD) from multi-month lows gathered steam on Thursday after the US dollar tumbled in tandem with the Treasury yields. Gold rallied over 1% to settle the holiday-shortened week above the critical resistance at $1729.

Investors cheered strong US manufacturing data and President Biden’s infrastructure plan, which boosted global stocks at the expense of the safe-haven gold. Technically, gold’s recovery seems to have some legs but its fate hinges on the US NFP release and next week’s FOMC minutes.

Gold Price Chart: Key resistance and support levels

The Technical Confluences Detector shows that gold faces immediate resistance at $1732, which is the Fibonacci 38.2% one-week.

A dense cluster of resistance is seen around the $1737 area, which is the confluence of SMA200 four-hour and Fibonacci 61.8% one-week.

The bulls will then look to challenge powerful resistance at $1747, the convergence of the previous week high, pivot point one-day R2 and pivot point one-week R1.

Alternatively, a sustained break below the $1929 support – the intersection of the Fibonacci 23.6% one-week and Fibonacci 61.8% one-month - could revive the downside bias.

The next relevant support is seen around $1725, the confluence of the SMA10 one-day and Fibonacci 23.6% one-day.

Further south, $1720 could likely test the bearish commitments. At that point, the Fibonacci 38.2% one-day coincides with the previous week low.

Here is how it looks on the tool

About Technical Confluences Detector

The TCD (Technical Confluences Detector) is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

GBP/USD weakens below 1.3250 as UK Prime Minister Keir Starmer resigns

The GBP/USD pair loses ground to near 1.3245 during the early Asian trading hours on Tuesday. Political uncertainty in the United Kingdom continues to weigh on the British Pound against the US Dollar. The preliminary readings of the S&P Global Purchasing Managers Index from both the US and the UK are due later on Tuesday.

EUR/USD moves little amid market caution on ongoing US-Iran talks

EUR/USD steadies after registering modest losses in the previous day, trading around 1.1430 during the Asian hours on Tuesday. The currency pair remains locked in a tight range as traders closely monitor diplomatic developments surrounding ongoing talks between Washington and Tehran in Bürgenstock, Switzerland.

Gold holds lower ground near $4,150 on hawkish Fed bets

Gold struggles to capitalize on the previous day's modest gains and edges lower to near $4,150 in the Asian session on Tuesday. Firming expectations for a Fed rate hike and geopolitical uncertainties help the US Dollar to stand firm near its highest level since May 2025, undermining bullion.

NYSE parent ICE, OKX partners to expand tokenized equities and digital asset markets

The New York Stock Exchange parent company, Intercontinental Exchange, and crypto exchange OKX have formed a joint venture to develop infrastructure for tokenized and blockchain-native financial products, according to a statement on Monday. The venture will seek to operate as a US-registered broker-dealer and futures commission merchant, subject to regulatory approvals.

Are American consumers actually “resilient“?

A common label gets placed upon American buyers: resilient. Just last week, Marianne Lake, the CEO of Consumer and Community Banking — and a member of the JPMorganChase Operating Committee — affirmed this sentiment. While she did note some weariness regarding future inflation’s effect on consumers, she reiterated the common adjective: resilient.

Regime change: Inside Kevin Warsh's first move to make the Fed unreadable on purpose

The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.