Gold – Critical $3000 Support Holds Amid Pullback from Record High

Gold remains range-bound at the start of the week but stays constructive above the key $3000 level (psychological support / 10DMA).

The recent pullback from the record high of $3057 found strong support at $3000, reinforced by Friday’s sharp rebound, highlighting its significance.

Near-term price action appears to be consolidating ahead of a potential renewed push higher, with the bullish outlook strengthened by a weekly close above $3000.

Technical indicators on the daily chart remain firmly bullish, though overbought conditions could lead to an extended consolidation phase, with possible brief dips below $3000 not ruled out.

Fundamentals continue to drive sentiment, with the Federal Reserve’s hawkish stance (holding rates steady and signaling two 25bp cuts in 2025), escalating geopolitical tensions, and concerns that an intensifying trade war could fuel inflation, all supporting safe-haven demand for gold.

However, optimism surrounding ongoing peace talks between the U.S., Russia, and Ukraine, along with a softer stance from President Trump on upcoming tariffs (set for April 2), may help ease uncertainty and potentially slow the flight to safety.

As long as the $3000 support holds, the short-term bias remains bullish, with a decisive break above the $3029 barrier (50% retracement of the $3057-$2999 pullback) needed to confirm a fresh bullish signal.

Conversely, a sustained drop below $3000 could weaken the bullish outlook, paving the way for a deeper pullback, though support is expected above $2971 (38.2% Fibonacci retracement of the $2832-$3057 rally) to maintain the broader uptrend.

Res: 3035; 3047; 3057; 3079
Sup: 3013; 3000; 2971; 2956