Gold Daily | Spot Gold Eyes Weekly Gain Amid US Policy Uncertainty and Rate Cut Expectations

【Latest Gold Price and Recent Trends】

On Friday, spot gold slightly decreased to around $2,716.56 per ounce. Despite a brief retreat, influenced by a stronger dollar and profit-taking, gold has the potential for a weekly gain, driven by uncertainty surrounding upcoming US presidential policies and expectations of further rate cuts.

【Technical Analysis】

Gold is trading in a downward channel on the 60-minute chart, with resistance seen at $2,723, forming a double-top pattern. Support levels lie at $2,689.72 and $2,658.80. In the longer term, the daily chart suggests an upward trajectory with a key resistance at $2,725, beyond which $2,790 is a target.

【Market Sentiment and Economic Background】

The anticipation of President Trump’s upcoming inauguration contributes to market volatility, with his aggressive trade policies expected to affect both inflation and global trade dynamics. Recent US economic data showed weaker core inflation, reinforcing expectations of rate cuts by the Federal Reserve. The dollar's strength and profit-taking have slightly pressured gold, yet support remains as investors seek a hedge amid policy uncertainty.

【Analyst Opinions】

Analyst David Meger notes that the day's gold pullback is primarily due to profit-taking rather than significant market shifts. Nitesh Shah from WisdomTree highlights the uncertainty around tariffs as a factor supporting gold as a hedge against economic risks. Ole Hansen from Saxo Bank sees $2,725 as a critical resistance level, expecting challenges in breaking this amid unclear policy directions from Trump. Meanwhile, Christopher Waller from the Fed hints at potential rate cuts if economic data weakens, supporting gold's appeal as a hedge.