Gold is trading with modest gains, but the market is still hesitant and the price remains confined within the range of previous days. Trading is accompanied by a cautious mood, supported by indecisive candles on the daily chart near the historical high. According to TradingView analysis, both buyers and sellers are watching key levels and waiting for a stronger impulse.

Gold and attack on the historical high

Gold is hitting resistance below the historical high at the 4,350-dollar level, while sellers have so far failed to push the price below the 4,260 to 4,270-dollar zone. From a technical perspective, the gold price is moving in a triangle formation around the 4,300-dollar level. This pattern usually signals a continuation of the existing trend, in this case, an upward one.

The movement is further framed by an ascending channel, indicating that buyers still hold control. The MACD is below the zero line, but the declining histogram shows weakening selling pressure. The RSI at 59 points supports a slightly positive sentiment with no signs of being overbought.

The nearest resistance lies at the upper edge of the triangle around 4,340 dollars, and then at the 4,350-dollar high. If the price breaks this zone, the market could test the upper line of the rising channel near 4,385 dollars. On the other hand, buyers are watching support at 4,300 dollars, then at 4,280 dollars, and finally at 4,240 dollars, where the lower boundary of the channel is located. The reaction of the price at these levels will reveal whether gold will gain new momentum or need more time for consolidation.

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Impact of the US dollar

One of the main factors influencing this development is the US dollar. The dollar has slightly recovered from previous losses in recent days, and this movement immediately affects precious metals. A stronger dollar traditionally reduces gold’s attractiveness as investors seek returns in a higher-yielding currency. In the long term, however, the US Dollar Index (DXY) is falling.

The latest macroeconomic data from the US indicated a cooling labor market, keeping expectations for an earlier interest rate cut by the central bank. However, the market has not yet committed to a clear scenario. Traders are closely watching the Thursday release of consumer inflation, which could change the market mood within a few hours. This indicator often determines whether gold gains new momentum or remains stuck in a sideways trend.

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