[GOLD 03.03.2025] Ride the Bullish Wave: How to Profit from Gold’s Surge Amid Geopolitical Tensions

Discover the latest insights on gold prices as XAU/USD approaches $2,900, driven by safe-haven demand amidst geopolitical tensions and inflation. Explore potential trading strategies, key price levels, and effective risk management techniques to optimize your forex trading experience. Stay ahead of the market with our expert analysis on bullish trends and breakout opportunities for XAU/USD.

Market Recap

Gold prices remain bullish overall, with XAU/USD trading near $2,900 as of March 3, 2025. The metal continues to benefit from safe-haven demand amid geopolitical tensions and inflationary pressures. For traders, Exness offers competitive spreads and reliable execution for forex trading.

Price Level:

XAU/USD is currently testing the $2,900 area, with a potential pullback toward $2,835 before resuming its upward trajectory.

Trend:

The broader trend remains bullish, supported by central bank demand and ETF inflows. Short-term corrections are expected, but the long-term outlook favors further gains.

Key Levels:

  • Support: $2,835 (critical level for bullish continuation)
  • Resistance: $2,935 (immediate upside barrier)
  • Long-Term Target: $3,075–$3,300 (bullish breakout targets)

Trading Strategy for XAU/USD

Entry Points

  • Pullback Entry: Buy on a dip toward $2,835, targeting $2,935.
  • Breakout Entry: Enter long if prices close above $2,935, aiming for $3,075.

Risk Management

  • Stop Loss (SL): Place below $2,835 to protect against a bearish reversal.
  • Take Profit (TP): Set at $2,935 (immediate target) or $3,075 (long-term target).

Key Indicators to Monitor

  • RSI: A rebound from oversold levels (below 30) could signal renewed buying pressure.
  • Moving Averages: The 50-period MA ($2,850) and 200-period MA ($2,700) suggest upward momentum.

Rationale for Strategy

  • Bullish Drivers: Rising inflation, potential Fed rate cuts, and geopolitical risks continue to drive demand.
  • Volatility: Monitor Fed announcements (March 18–19) and inflation data (March 12) for catalysts.

Final Advice

Stay alert for a potential pullback to $2,835. If the Fed hints at rate cuts or inflation spikes, expect a surge toward $3,000+. Use tight stops below $2,835 and scale profits at $2,935 and $3,075. For aggressive traders, consider a breakout entry above $2,935 with a TP at $3,075.
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