2025-10-31 03:30:00
Spot gold prices just popped up a solid bullish candlestick after days of losses!
Think the yellow metal is ready to extend a longer-term trend?
We’re checking out the daily time frame today:
Spot gold edged higher alongside the U.S. dollar on Thursday as traders weighed fiscal concerns amid the ongoing U.S. government shutdown and continued uncertainty over U.S.-China trade relations. Some may also have shifted their focus to fiscal risks, while others appeared to be taking profits ahead of the month’s close.
Meanwhile, the Greenback continued to draw bullish demand after Fed Chair Jerome Powell downplayed the likelihood of a December rate cut, saying it was not a “foregone conclusion.”
Remember that directional biases and volatility conditions in market price are typically driven by fundamentals. If you haven’t yet done your fundie homework on the U.S. dollar and gold, then it’s time to check out the economic calendar and stay updated on daily fundamental news!
Spot gold, which had been sliding since getting close to $4,400, posted its first strong bullish candlestick in days and is now trading near the key $4,000 level.
That area isn’t just psychological — it also lines up with the R1 Pivot Point at $4,008 and the 38.2% Fibonacci retracement of the August to September rally.
If prices can stay above $4,000, gold could be setting up for another run toward $4,400 or even new highs.
But if the metal slips back under that level and red candles start stacking up again, sellers could drag XAU/USD toward lower targets like the Pivot Point near $3,700.
Whichever bias you end up trading, don’t forget to practice proper risk management and stay aware of top-tier catalysts that could influence overall market sentiment.
Disclaimer:
Please be aware that the technical analysis content provided herein is for informational and educational purposes only. It should not be construed as trading advice or a suggestion of any specific directional bias. Technical analysis is just one aspect of a comprehensive trading strategy. The technical setups discussed are intended to highlight potential areas of interest that other traders may be observing. Ultimately, all trading decisions, risk management strategies, and their resulting outcomes are the sole responsibility of each individual trader. Please trade responsibly.
