Gold Daily | Gold Prices Hover at $2616 Amid Strong Dollar, Geopolitical Tensions Boost Demand

【Latest Gold Price and Recent Trends】

Gold prices hover above $2600, currently at $2616, as a strong dollar limits gains. Geopolitical tensions and trade uncertainties support demand, but the Fed's hawkish stance restricts potential growth. A breakout past $2720 is needed for the next upward move.

【Technical Analysis】

Gold prices are consolidating within a neutral zone, trading between $2720 and $2550. RSI indicates range-bound conditions, with prices above the 200-day moving average suggesting a bullish trend. A critical pivot at $2633.32 could drive momentum higher if breached, targeting $2664.41 and beyond. Conversely, support lies at $2586.34, with risks of decline should prices fall below.

【Market Sentiment and Economic Background】

The broader market environment reflects a cautious outlook amid geopolitical tensions and anticipated policy changes with Trump's return to the White House, potentially affecting inflation. The dollar remains strong due to the Fed's moderate rate cut path in 2025, supporting the dollar but posing challenges for gold.

【Analyst Opinions】

Analysts highlight a neutral to bearish short-term outlook for gold unless pivotal resistance levels are breached. Analysts emphasize watching Fed policies and geopolitical developments as critical to gold’s future trajectory. Despite potential dollar strength, gold remains a vital hedge against ongoing economic uncertainty and geopolitical risks.