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The gold bull market has just begun!
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Hello everyone, today XM Forex will bring you "[XM Foreign Exchange Official Website]: The gold bull market has just begun!". Hope this helps you! The original content is as follows:
The MACD indicator on the weekly chart is firmly above the zero axis, and the Bollinger Bands are opening upwards. Perhaps the bull market for gold has just begun.
Spot gold closed positive again for the week and currently stands at $4,764 per ounce, hitting a record high. This three-week rise is the result of a www.xmtraders.combination of risk aversion, technical breakthroughs and macro fundamentals.
From a technical perspective, weekly-level breakthroughs are particularly critical. The price of gold is not only firmly above the MA20 and MA200 moving averages, but the Bollinger Bands are extending upwards, showing the strong power of bulls. The MACD indicator is above the zero line and continues to improve, indicating that bullish momentum is building.

1. Three major factors boost gold prices
The recent strong performance of gold is due to the superposition of three major driving factors.
Geopolitical risks bear the brunt. The Trump administration has threatened to impose additional tariffs on eight European countries, while the EU is considering imposing retaliatory tariffs on US goods worth 93 billion euros. The escalation of trade friction between the United States and Europe has prompted investors to seek safe-haven assets.
Monetary policy expectations also support gold prices. Federal Reserve official Bowman recently said policymakers should be prepared to cut interest rates again if necessary. Although the market expects the January meeting to remain unchanged, at least two 25 basis point interest rate cuts throughout the year have become consensus. This loose expectation weakens the dollar and promotes the influx of funds into gold.
Technical breakthroughs triggered a large number of programmatic buying orders. When gold prices broke through the previous high, algorithmic trading and trend following funds entered the market one after another, forming a positive cycle on the technical and financial sides.
2. On the gold weekly chart, multiple technical indicators issued buy signals.
The K-line system shows that the price of gold once touched $4,781 this week and closed firmly above $4,750, forming a strong bullish pattern. Three consecutive positive entities gradually enlarged, indicating that the buying power continues to increase.
The moving average system is in a typical long arrangement. The 5-week moving average has crossed above the 10-week moving average to form a golden cross, and the 200-week moving average provides solid support. This moving average shape is an important sign of the establishment of a mid- to long-term upward trend.
As for the MACD indicator, the fast and slow lines are running above the zero axis, and the green column continues to enlarge, indicating strong upward momentum. When the Bollinger Bands open upward, gold is expected to accelerate its rise and exceed $4,900.
Gold historical www.xmtraders.comparison and cycle analysis
Interesting patterns can be found by www.xmtraders.comparing the current trend with historical weekly data.
The phenomenon of the second golden cross on the weekly line deserves attention. When the price of gold experiences a period of decline, breaking through the 20-week moving average for the first time is often just a matter of large funds building positions, and breaking through the 20-week moving average again means that the washout is over and it is about to enter a period of rising prices. The current trend is consistent with this technical feature.
From the analysis of resistance level, gold price has effectively broken through the 60-week moving average (equivalent to the annual line in the daily chart). Historical data shows that after the physical weekly line crosses the 60-week moving average, a www.xmtraders.complete breakthrough is very likely.
Looking back at the weekly trends in the past few years, every weekly level breakthrough is accompanied by a long rising cycle. Based on this, the sustainability of this round of rise is worth looking forward to.
3. Gold target level prediction and risk warning
Based on current technical and fundamental analysis, the medium-term target level of gold can be seen as high as the $6,000 mark.
The short-term target of the bulls is the $4,800 area, and the next resistance level after the breakthrough is $4,900. In the medium term, gold prices are expected to hit $5,000 and even challenge the $6,000-8,000 area.
In terms of risks, we need to be alert to the possibility of a rebound in the US dollar and an easing of the geopolitical situation. If the U.S.-European trade dispute takes a turn for the better, or the Federal Reserve postpones its interest rate cut schedule, it may trigger a short-term adjustment in gold prices.

Observing the gold inventory flow and www.xmtraders.comEX delivery data of the Shanghai Futures Exchange, the battle for physical gold has entered a fever pitch. Buyers no longer only focus on price, but want to get as much gold as possible when liquidity is abundant.
Technically, the domestic gold price is currently at 1,067 yuan/gram and is moving towards the 1,100 yuan/gram mark. Gold is expected to exceed 1,400 yuan/gram before 2028. The 1,040 yuan/gram and 1,020 yuan/gram below have formed a strong support range, and any pullback can be regarded as a buying opportunity.
Gold’s long-term bull market is no accident. It is a concentrated expression of global political and economic uncertainty. When U.S.-Europe trade friction meets central bank easing forecastsIn this period, gold is facing a perfect rising storm.
Please note that article updates are timely and the market is changing rapidly. Please pay attention to more timely market changes.
Disclaimer: The above is purely personal opinion sharing and does not constitute operational advice. Investments are risky and you are responsible for your profits and losses.
The above content is all about "[XM Foreign Exchange Official Website]: The bull market of gold has just begun!" It was carefully www.xmtraders.compiled and edited by the editor of XM Foreign Exchange. I hope it will be helpful to your trading! Thanks for the support!
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