Gold Stages Comeback to $3,266—Traders Circle Like Vultures Eyeing $3,347 Breakout

Gold bulls roar back as the metal claws its way to $3,266, setting the stage for a potential assault on the $3,347 resistance level. Traders are now positioned like Wall Street hawks—ready to pounce at the first sign of weakness in the resistance.

The precious metal’s rebound comes as no surprise to market veterans, who’ve seen this script play out before. Another ’breakout opportunity’? How original—just like the last five that got crushed under Fed speak.

All eyes now turn to whether gold can finally punch through the ceiling... or if this is just another fakeout for the history books.

Fed Outlook Supports Gold’s Rebound

Fed Governor Adriana Kugler said the tariff deal reduces the need for rate cuts. But markets still expect the Fed to start cutting in September with 55 basis points priced in for 2025.

Gold tends to do well in a lower rate environment as it reduces the opportunity cost of holding non-yielding assets like bullion. Traders are watching inflation data closely – any miss to the downside could be a green light for gold bulls.

Citi revised its 0–3 month gold price target to $3,150 and expects consolidation between $3,000 and $3,300 in the NEAR term.

Gold Technical Levels to Watch

From a technical perspective, gold (XAU/USD) is trying to break out of its descending channel, currently trading just below its 50-day EMA at $3,291.

Key levels to watch:

• Support: $3,204

• Resistance: $3,301

• Breakout target: $3,347

The MACD has started to cross up, suggesting a possible momentum shift. A close above $3,291 could confirm this and trigger a MOVE to $3,347.