Contents
Market Recap
Gold prices have shown remarkable resilience in recent days, driven by geopolitical tensions, tariff uncertainties, and central bank demand. As of March 7, spot gold traded at $2,919.19/oz, while U.S. gold futures held steady at $2,926.40. The precious metal has gained over 10% since the start of 2025, reaching a record high of $2,950/oz in February. For traders seeking to capitalize on this volatility, Exness offers a robust platform for XAU/USD trading with competitive spreads and reliable execution.Current Price Action and Trends
Price Level:
Gold is currently trading near $2,919.19, consolidating after a sharp rally triggered by tariff policies and weak U.S. economic data.Trend:
The broader trend remains bullish, supported by safe-haven demand and expectations of Fed rate cuts. However, short-term volatility persists due to mixed economic signals and geopolitical risks.Key Levels:
- Support: $2,872 (near-term consolidation level)
- Resistance: $2,926.40 (current futures price), with a potential upside target of $2,950 (February’s record high)
- Long-Term Target: $3,100 by end-2025 (Goldman Sachs forecast)
Trading Strategy for XAU/USD
Entry Points
- Pullback Entry: Look to buy on dips toward $2,872, targeting a rebound to $2,926.40.
- Breakout Entry: Enter long if prices sustain above $2,926.40, aiming for $2,950.
Risk Management
- Stop Loss (SL): Place below $2,872 to protect against a breakdown.
- Take Profit (TP): Target $2,926.40 initially, with a secondary target at $2,950.
Key Indicators to Monitor
- RSI: A reading above 70 signals overbought conditions; use this to time exits.
- Moving Averages: The 50-day MA (~$2,800) acts as a dynamic support level.
Rationale for Strategy
- Bullish Drivers: Geopolitical risks, central bank buying, and Fed rate cut expectations.
- Volatility: Monitor U.S. non-farm payroll data and Fed Chair Powell’s remarks for market-moving catalysts.
Final Advice
Enter on pullbacks toward $2,872 with a tight stop loss below $2,860. Take profits near $2,926.40, and consider scaling out if prices approach $2,950. Stay alert to macroeconomic news, as gold’s safe-haven appeal could amplify gains in uncertain markets. For disciplined execution, leverage Exness’s tools to manage risk and capitalize on XAU/USD’s momentum.