Gold is sharply higher today, gaining $54, or 1.35%, to $4,080.67. The metal has traded in a wide range, with a session low of $3,983.21 and a high of $4,096.73.
Despite today’s rebound, gold remains lower on the week, down $141.75. At its worst levels this week, the price had plunged $260.36 from the weekly high before staging a recovery. At the week’s high, reached on Monday, the high took the price just barely into positive territory from last week’s close. The high was just $1.64 up on the week. .
From a technical perspective, the key focus is a daily swing area between $4,006.99 and $4,098.74. On Wednesday, gold briefly broke below that support zone, falling to $3,991.70, but sellers were unable to sustain the downside momentum. The rebound yesterday and today’s follow-through rally have pushed the price back into that swing area, effectively neutralizing the bearish break.
Also within this zone is the 38.2% retracement of the rally from the September 2022 low, which comes in at $4,079.35. The market is currently trading above that retracement level, giving buyers an additional technical foothold.
The next key test comes at $4,098.74—essentially the $4,100 level. If buyers can break and hold above that resistance, it would confirm the failure of the recent downside break and should trigger another squeeze higher. A failure to break through would keep gold trapped within its recent consolidation range, and have traders looking down toward the $4006.99 level..
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