However, the gold market appears overheated in the short term, and a correction could develop at any point. This pullback will likely present a buying opportunity for investors.
On the other hand, silver also broke above the key level of $50, supported by tight supply. Spot silver hit a fresh record, boosted by both safe-haven flows and industrial demand. As gold leads the precious metals rally, silver continues to attract buyers on dips, showing a strong correlation with gold’s uptrend.
Gold Technical Analysis
XAUUSD Daily Chart – Uncharted Territory
The daily chart for spot gold shows that the price has broken above the $4,000 region, which served as strong resistance within the ascending broadening wedge pattern. The price continues to surge higher after the breakout, showing no signs of correction.
This momentum suggests that gold is being driven by ongoing currency debasement concerns and heightened market uncertainty. The strong rally above $4,000 is attracting new buyers, further fueling upward pressure in the gold market.