Gold Holds, Iran Tensions Support
Gold prices are holding steady in the $4,970–$4,990/oz range after a sharp spike the previous day, as the market is now "locking its focus" on the Fed's interest rate. The FOMC minutes signaled that the Fed is in no rush to cut rates, and some officials even left open the possibility of further tightening if inflation remains above target—this is usually a factor that strengthens the dollar and increases yields, thus limiting gold's upside in the short term.
On the other hand, gold remains strongly supported by the geopolitical risk premium (US-Iran tensions and other global issues) which maintains safe-haven interest. Furthermore, Asian liquidity is thin due to the Lunar New Year holiday, making movements more volatile even without major catalysts. So, gold's fundamentals are currently in a tug-of-war: a hawkish Fed and a restraining dollar, while geopolitics and safe-haven interest keep gold strong near the psychological level of $5,000.
The gold price at the time of this analysis is $4,970
- Buy if the price moves within $4,975
- Sell if the price moves within $4,965
Resistance 2: $4,982
Resistance 1: $4,976
Support 1: $4,964
Support 2: $4,958
Disclaimer
This article is analytical in nature and is not a definitive reference. Please consider the impact of fundamental and technical developments on trading before making any investment decisions.
Source: Newsmaker.id
