Select Page

By RoboForex Analytical Department

Gold prices have soared past 2400.00 USD, reaching a new record high on Friday. This marks the fifth consecutive week of gains for the precious metal, fuelled by increasing market demand for “safe-haven” assets amid escalating geopolitical tensions and uncertain global economic conditions.

The recent sharp increase in geopolitical tensions, particularly in the Middle East, has overshadowed optimistic remarks from Federal Reserve officials. The Fed’s monetary authorities are currently inclined towards gradual interest rate cuts throughout the year, given the persistent strength of inflation and the robust state of the US economy. However, the deepening conflict, especially with Iran’s involvement, has heightened concerns about the stability of the region, diminishing hopes for a quick diplomatic resolution.

Gold’s role as a defensive asset has been reinforced under these circumstances, with expectations that its price could climb even higher if the Middle East conflict continues escalating. Investor interest in gold will likely to persist as long as the situation remains volatile.

The focus on gold as a safe investment has largely overshadowed other economic indicators, including fluctuations in the value of the US dollar and other currencies.

Technical analysis of XAU/USD

On the H4 chart of XAU/USD, a broad consolidation range has formed around 2379.70. Exiting this range upward opens the potential to target 2437.00. Following this, a correction to the level of 2323.23 might commence, possibly extending to 2183.42. This scenario is supported by the MACD indicator, with its signal line positioned above zero but poised to decline towards new lows.


On the H1 chart, XAU/USD exhibits a diverging “Triangle” formation around 2379.70. A downward movement to 2342.42 could occur, followed by an upward trajectory to 2437.00. Upon reaching this peak, a decline to 2323.23 is anticipated. This corrective movement is the initial target. The Stochastic oscillator, with its signal line currently above 20, is expected to rise towards 80, suggesting potential upward movements within this framework.



Any forecasts contained herein are based on the author’s particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.

investmacro stock market newsletter

  • Gold hits record high amid growing geopolitical tensions Apr 19, 2024
  • The US natural gas prices fell to a 2-month low. A drop in the technology sector on Wednesday had a negative impact on the broad market Apr 18, 2024
  • Target Thursdays: Cocoa, Bitcoin and USDCHF hit targets! Apr 18, 2024
  • British Pound shows signs of recovery amid favourable inflation data Apr 18, 2024
  • Indices decline amid hawkish comments from the Fed. Investors are waiting for Israel’s answer Apr 17, 2024
  • EURGBP: Slams into support on hot UK inflation Apr 17, 2024
  • Brent crude prices dip amid concerns over global demand Apr 17, 2024
  • Stock indices sell-off amid rising geopolitical tensions in the Middle East. China’s GDP grew the most in a year Apr 16, 2024
  • New FXTM commodity hits all-time high! Apr 16, 2024
  • NZD hits five-month low against strong US dollar Apr 16, 2024
Share it on social networks