Gold set a new price record last week on Thursday with a break above $ 3057 per ounce, all time.
But the Bullish Momentum has cooled this week and now everyone wonders if it can continue this uptrend.
Gold stormed in 2023 in a bullish anger and broke one record price after the other for three months.
Last week the yellow metal set up a new of all time when the price reached $ 3057.21 per ounce, so that a new level of resistance was effectively established.
Seven days later, the precious metal has surrendered most of these profits and is currently fighting hard to defend the support level of $ 3K.
Factors that prevent further increase in gold prices
The last few days were important for gold because it witnessed a considerable withdrawal.
As a result, his price fell to $ 3.002 before a solid bullish defense helped above $ 3015. Two factors can be attributed to this pullback.
First, the Stabilized US dollarswhich currently runs around $ 104 against the basket with large currency, as followed by the US Dollar Index (DXY).
Since USD and gold prices have an inverted relationship, it was expected that dollar strengths would cause a slip for gold.
We also write the decrease in gold prices and the partial to the profit of early investors.
Such actions exert too much sales pressure on the market, which activates a free decrease for the prices of the yellow stone.
Gold price forecast for the second quarter of 2025
We remain bullish about the Gold price action during 2025, in the expectation that it will gather with another 6% at $ 3265 before the end of the year.
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The price action for the second will nevertheless be determined by how it ends the first quarter and two other macro factors.
The first is to impose further Trump rates or equal response from US trading partners.
That has already been reported The EU has met To discuss Trump rates, while China has already hit a rate of 15% on American products.
Secondly, central banks all over the world met this month and decided to keep the benchmark -credit rates stable. This has also had a small impact on gold prices.
But the will of the Fed have already suggested the possibility of lowering rates twice before the end of the year.
If Trump rates still cause uncertainty and fears for inflation in the market, gold prices will continue.
But if worldwide inflation cools and central banks begin to lower interest rates, gold prices will stabilize, with a small possibility of leaning Bearish and losing the support level of $ 3K.
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