Gold's Momentum Stalls Below the Key $3,000 Level

Gold surged to an un-sustained high of $2,942 per ounce, touching the lower boundary of its October 2023–2024 up-trending channel, before retreating below the key $2,920 level.

• RSI has hit extreme overbought levels, last seen during the U.S. elections, signaling a potential pullback, especially with U.S. CPI data and trade negotiations ahead.
  
• A close above $2,920 could fuel a rally toward $3,050.
  
• Support levels to watch: $2,890, $2,820, $2,790, and $2,730.
  
• A break below $2,730 may shift the outlook to a long-term bearish trend.
  

Key Events to Watch:

• Trump’s Middle East ceasefire talks, evolving tariff strategies, and new sanctions on Russia and Iran.
  
• Fed Chair Powell’s testimony on monetary policy and inflation outlook.
  
• U.S. CPI release, shaping expectations for Federal Reserve policy shifts.
  

- Razan Hilal, CMT