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The precious metals market performed brilliantly today. After the opening, spot gold quickly surged over $60, reaching a historic high of $4531/oz, and is currently fluctuating around $4520/oz; silver followed the rally, hitting a new record.
Why is gold prices rising so aggressively? Multiple factors are resonating simultaneously. Changes in macroeconomic cycles, ongoing geopolitical tensions, and increasing global investor allocation demand—these forces combined are driving precious metals to new highs. Once the market holiday ends and capital flows return to normal, gold still has significant upside potential.
An interesting phenomenon is that while gold prices remain high, consumer demand for gold jewelry has noticeably decreased, but demand for investment products like gold bars and coins remains hot. This reflects a clear divergence between investment and consumption demand in the global gold market.
From a technical perspective, the daily chart shows an intact upward trend. The small doji candlestick on Wednesday is not a sign of decline but rather a consolidation before further gains. The MA10 and MA7 moving averages are diverging upward, positioned at 4388 and 4420 respectively, with prices climbing along the upper band of the Bollinger Bands. The RSI indicator has exceeded 80, entering the overbought zone.
The four-hour and hourly charts are also strong—moving averages are aligned upward, and prices are holding steady near the middle to upper band of the Bollinger Bands. Short-term trading logic favors long positions, with opportunities to buy on dips.
Key price levels (USD/oz):
Support: 4500 → 4483 → 4461
Resistance: 4547 → 4570 → 4592
Trading strategy suggestions—
Long: Place buy orders at 4480-4485, stop loss at 4460, target 4530-4550
Short: Consider selling at 4560-4565, stop loss at 4580, target retracement to 4500-4480