Contents
Market Recap
Gold prices have shown significant volatility in recent days, driven by geopolitical tensions and macroeconomic shifts. The precious metal surged to $2,915.28 per ounce on March 4, 2025, reflecting a 10.75% year-to-date increase. This upward momentum aligns with Goldman Sachs’ revised forecast of an 8% rise to $3,100 by year-end, fueled by central bank demand and ETF inflows. For traders seeking reliable platforms, Exness offers competitive conditions for XAU/USD trading.Current Price Action and Trends
Price Level:
Gold is currently testing resistance near $2,915, with a bullish channel suggesting upward momentum.Trend:
The broader trend remains bullish, supported by moving averages indicating upward pressure.Key Levels:
- Support: $2,835 (critical short-term support)
- Resistance: $2,975 (immediate resistance), $3,075 (long-term target)
- Long-Term Target: $3,100–$3,300 (Goldman Sachs’ forecast)
Trading Strategy for XAU/USD
Entry Points
- Pullback Entry: Look for a dip to $2,835 (support level) with a bullish RSI rebound.
- Breakout Entry: Enter long if prices close above $2,935 (resistance).
Risk Management
- Stop Loss (SL): Place below $2,735 to avoid a bearish breakout.
- Take Profit (TP): Target $3,075 initially, with a secondary target at $3,100.
Key Indicators to Monitor
- RSI: A rebound from oversold zones (e.g., 40–50) signals bullish momentum.
- Moving Averages: A golden cross (50-period MA crossing above 200-period MA) confirms the uptrend.
Rationale for Strategy
- Bullish Drivers: Central bank accumulation (e.g., 108 tonnes in December), ETF inflows, and geopolitical uncertainty.
- Volatility: Monitor U.S. economic data (e.g., NFP) and tariff-related news for sudden price swings.
Final Advice
Gold’s resilience amid global uncertainty positions it as a prime asset for risk-averse traders. Focus on the $2,835–$2,935 range for entries, with a clear exit strategy to lock in profits. Stay alert to central bank actions and macroeconomic catalysts—these will dictate XAU/USD’s trajectory in the coming sessions.