Gold prices are on the verge of their biggest weekly gain in five months and near record highs, buoyed by Powell's hints that a rate cut could come mid-year.
This week alone, gold spot prices soared by more than 3.5%, marking the largest weekly increase since the conflict between Israel and Hamas escalated in mid-October 2023, and is expected to rise for a third consecutive week.
Speculative trading has fueled the rise, but the underlying driver remains expectations of upcoming interest rate cuts, boosting gold's appeal. Meanwhile, the U.S. dollar is set for its biggest weekly drop this year, further increasing gold's appeal to investors holding other currencies.
The current resistance level is $2193.25 and the support level is determined at $2174.34
Combined with the current gold trend: it is predicted that gold prices will continue to rise;
Short-term recommendation: Go long around $2,175
TP 2190
SL 2165
Listen to my signal and advocate seeking victory in stability and not making rash advances.
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