[GOLD 26.05.2025] Ride the Bullish Wave: Expert Insights for Gold Trading Success

Market Recap

Gold prices have shown volatility in recent sessions, balancing between geopolitical tensions and economic pressures. Traders should consider Exness for robust gold trading platforms, offering competitive spreads and reliable execution.

Current Price Action and Trends

Price Level:

XAU/USD trades near $3,335, reflecting a slight pullback from last week’s highs.

Trend:

Lean bullish with cautious momentum, as technical indicators show overbought conditions on monthly charts.

Key Levels:

• Critical support: $3,330 (weekly low).
• Resistance: $3,376–$3,385 (previous highs).
• Long-term target: $3,700 by end-2025 (Goldman Sachs’ forecast).

Support:

• Immediate: $3,330–$3,350.
• Strong: $3,250–$3,300.

Resistance:

• Near-term: $3,376–$3,385.
• Breakout: $3,400.

Long-Term Target:

$3,700 (Goldman Sachs’ target) and $4,700 (CoinCodex’ 2025 high).

Trading Strategy for XAU/USD

Entry Points

• Pullback Entry: Buy on dip toward $3,330–$3,350 with confirmation via bullish RSI divergence.
• Breakout Entry: Enter above $3,385 with volume spike, targeting $3,400.

Risk Management

• Stop Loss (SL):
  • Pullback trades: $3,320 (below recent support).
  • Breakout trades: $3,375 (below resistance zone).
• Take Profit (TP):
  • First TP: $3,376–$3,385 (previous high).
  • Second TP: $3,400 (psychological level).
  • Long-term TP: $3,700.

Key Indicators to Monitor

• RSI: Monthly RSI shows overbought conditions; watch for reversal signals below 65.
• Moving Averages: 20-period MA diverging from price, suggesting bullish momentum.

Rationale for Strategy

• Bullish Drivers:
  1. US credit downgrade (Moody’s) weakening USD.
  2. Continued central bank gold purchases.
  3. Geopolitical hedging demand.
• Volatility: Trade war developments and FOMC minutes may drive swings.

Final Advice

1. Entry Timing: Open positions during Asian/European sessions for better volatility.
2. Trade Sizing: Limit exposure to 1-2% risk per trade.
3. Exit Strategy:
   • Close partial positions at $3,385 (near-term resistance).
   • Keep remainder open for $3,400 with trailing SL.
4. Monitoring: Religiously track RSI divergence and moving average crossovers.

Gold’s trajectory hinges on inflation data and trade policies—stay agile, and leverage Exness’ tools for optimal execution.