Gold breaks above $4,500, poised for further gains amid renewed geopolitical tensions
Gold prices softened in early Wednesday trading as some investors took profits after a three‑day rally that pushed the metal above the key psychological $4,500 level.
The recent pullback found support near the $4,300 area, where the retreat from the new record high around $4,550 was contained. The bounce reclaimed the 76.4% Fibonacci retracement of the $4,550–$4,274 downward leg on Tuesday, signaling that this corrective phase may be ending and bullish momentum could resume.
Safe‑haven demand has been reinvigorated by escalating geopolitical uncertainty linked to developments in Venezuela and broader global risk sentiment, lifting gold’s appeal as a haven asset. Hawkish rhetoric from U.S. policymakers on potential further actions in regions including Greenland and parts of South America added to market fears and supported inflows into gold.
From a technical standpoint, gold remains firmly entrenched in a long‑term uptrend that began in late 2022 and accelerated sharply in 2025, when the metal rallied strongly and posted one of its best annual gains on record. Key bullish drivers are still in place, helping to counterbalance overbought conditions seen in longer‑term indicators.
In the near term, the retreat from $4,500 is likely to be a modest correction that allows for consolidation and the potential development of more attractive entry points before buyers fully retake control. Support near the $4,422–$4,400 area, including the 10‑day moving average and a psychological threshold, could help contain further dips and sustain the bullish trend.
A sustained move back above $4,500 would open the door toward challenging the recent high around $4,550. A clear break above that level would signal renewed bullish continuation, potentially exposing upside targets around $4,615 (Fibonacci 123.6%), $4,656 (138.2%) and $4,721 (161.8%), while also underscoring the possibility of reaching the psychologically significant $5,000 mark that some analysts have flagged.
Res: 4500; 4550; 4615; 4656
Sup: 4422; 4400; 4381; 4300
