Gold Price Forecast: Bulls Defend Key Support, Eyes on Trendline

GOLD Gold (XAU/USD) bounced from the $3,261 support zone after briefly dipping to a one-month low around $3,265 in early Asian trade. The rebound came as buyers stepped in at a major demand area, rejecting further downside and suggesting bullish intent.

Macro drivers include reduced safe-haven demand following the US-China trade agreement on rare earths and a temporary ceasefire between Israel and Iran. However, expectations of a Fed rate cut—especially after weaker US consumer spending data—could limit further losses.

Technically, XAUUSD gold has formed a double bottom around $3,261, and price action now threatens to break above a descending trendline (TL1). A confirmed breakout above minor resistance at $3,283 may open the door toward $3,311 and potentially the upper trendline near $3,330.

Key Levels to Watch:

Support: $3,261 (defended), $3,250 (monthly low)

Resistance: $3,283 (minor), $3,311 (former support turned resistance), $3,330 (TL2 trendline)

📉 Trendlines: TL1 and TL2 still capping upside; breakout would confirm bullish shift

If bulls can maintain control above $3,283 and push through the trendline, a broader recovery could follow. However, failure to clear this zone may invite renewed selling pressure.

⚠️ Disclaimer: This analysis is for informational purposes only and does not constitute investment advice.