Gold Daily | Gold Rises 0.7% Amid Weaker Dollar, Faces Technical Resistance Below $3,325

【Latest Gold Price and Recent Trends】

Gold prices rose 0.7% to $3,294.57, rebounding from a previous low of $3,247. Supported by a weaker dollar, gold has gained 5.4% this quarter.

【Technical Analysis】

Gold prices have been fluctuating below the 50-day moving average of $3,325 and the 50% Fibonacci retracement level at $3,297. Despite a rebound from the $3,250 demand zone, the 14-day RSI remains below 50, suggesting challenges in sustaining the rise. If the price breaches $3,297, it might rise to the 50-day moving average of $3,321, potentially testing the $3,350 psychological level. Conversely, if it falls below $3,248, the next support is at $3,232 and further at $3,168.

【Market Sentiment and Economic Background】

Market focus is on upcoming U.S. employment data and trade agreements, while a weaker dollar and expectations of a Fed rate cut provide support for gold. The easing of geopolitical tensions and trade issues, like the U.S.-China rare earths agreement and Canada's withdrawal of the digital services tax, have impacted gold's appeal as a safe haven, contributing to last week's 2.8% price drop.

【Analyst Opinions】

UBS analyst Giovanni Staunovo notes the interplay between a weak dollar and President Trump's pressure on the Fed to cut interest rates as key factors supporting gold. The anticipation of Fed rate cuts by September further enhances gold's appeal. Daniel Pavilonis from RJO Futures highlights reduced geopolitical risks and trade tensions, offering a chance for profit-taking in gold investments.