Recent Performance:
Price Movement: Gold prices have increased significantly, surpassing $3,100 per ounce. Spot gold reached a peak of $3,128.06, marking one of the most significant upswings in the history of the precious metal. This rise is attributed to factors such as impending U.S. tariffs, strong central bank demand, expectations of Federal Reserve interest rate cuts, geopolitical instability, and increased investments in gold-backed exchange-traded funds (ETFs).
Technical Analysis:
Support and Resistance Levels: Gold recently broke through the $3,100 barrier, with potential targets at $3,156 and $3,173 based on Fibonacci projections, and a psychological level at $3,200. Support levels are identified at $3,100, followed by $3,057 and the rising 10-day moving average around $3,045.
Technical Indicators: Technical analyses indicate a strong upward trend. The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) suggest continued upward momentum. However, overbought conditions may lead to short-term pullbacks.
Fundamental Factors:
Economic Events: The anticipation of U.S. President Donald Trump's reciprocal tariffs, expected to be announced on April 2, has increased market uncertainty, driving investors toward safe-haven assets like gold. Additionally, geopolitical tensions in the Middle East and Europe continue to support gold's appeal.
Central Bank Policies: Strong demand from central banks aiming to diversify reserves away from the U.S. dollar has bolstered gold prices. The Federal Reserve's potential interest rate cuts further enhance gold's attractiveness as a non-yielding asset.