Gold at a Crossroads: Will Bulls Charge or Retreat?
Gold’s price action is tightening like a coiled spring—technical traders are eyeing make-or-break levels as the metal teeters between breakout and correction.
Key resistance holds the line at $2,350, while support lurks near $2,280. A decisive close above resistance could trigger algorithmic buying frenzies (and another round of ’this time it’s different’ goldbug euphoria).
Meanwhile, bond yields and the dollar—gold’s eternal frenemies—are playing spoiler as usual. Breakout or fakeout? The charts will decide before Wall Street’s quants finish their third espresso.
Fed Meeting Adds Uncertainty for Gold
Today’s FOMC meeting is also weighing on gold. The Fed is expected to keep rates steady in the 4.25-4.50% range where it has been since December. But traders are looking for any hints from Fed Chair Jerome Powell on the timing of future rate cuts. Lower rates generally support gold by reducing the opportunity cost of holding the non-yielding metal.
Key factors to watch this week:
Fed Policy Decision: Steady rates but dovish hints.
US-China Trade Talks: High level meetings in Switzerland could reduce safe-haven demand.
Global Growth Fears: Despite trade optimism growth concerns remain a gold supportive factor.
Gold Technical Outlook: Support and Resistance Levels
Gold is at $3,393 just above a critical trendline and the 50 period EMA at $3,356. Resistance is at $3,401 with a possible move to $3,432 if this level is broken. But the MACD is showing early signs of a bearish crossover so the momentum may be cooling.
For traders this is a clear risk reward setup:
Buy above $3,401 → Target: $3,432 | Stop: $3,361
Sell $3,361 → $3,337 | $3,401
Be patient. Wait for a clean break before entering.
