Gold Breaks Key Resistance Level
Global financial markets saw heightened volatility this week as spot gold prices cleared the critical $4,490 per ounce psychological barrier, posting a solid 0.93% intraday gain. This breakout reflects a powerful convergence of technical strength and fundamental support.
Three Key Drivers Behind the Rally
- A weakening U.S. dollar reduces the cost of holding dollar-denominated bullion
- Escalating geopolitical tensions boost safe-haven demand
- Persistent inflation data reinforces gold’s appeal as an inflation hedge
Market analysts suggest this rally is more than just short-term noise—it signals a structural shift in investor behavior. Central bank buying remains strong, while retail interest in gold-backed assets is also rising, creating dual-layered demand.
Technically, gold has stabilized above key moving averages with RSI in a healthy range, showing no signs of overheating. The $4,500 level now emerges as the next major psychological and technical target, potentially setting the stage for further upside momentum.