Gold Technical Analysis March 28, 2025
Current Price Levels and Technical Indicators:
As of 12:00 GMT on March 28, 2025, gold is trading at approximately $3,085 per ounce, marking a new all-time high. The Relative Strength Index (RSI) is nearing overbought levels, indicating strong bullish momentum but also suggesting a potential for short-term correction. Gold’s position above key moving averages reinforces its bullish trend.
Support and Resistance Levels:
Resistance: The immediate resistance level is at $3,100 per ounce.
Support: Initial support is identified at $3,050, with further support at $3,000.
Fundamental Factors:
Gold’s surge is primarily driven by:
Trade Tensions: The announcement of tariffs has heightened global trade war fears, prompting investors to seek safe-haven assets like gold.
Monetary Policy Expectations: Expectations of potential interest rate cuts by the Federal Reserve, in response to trade-induced economic uncertainties, have increased demand for gold.
Central Bank Purchases: Robust gold buying by central banks, particularly in Asia, has contributed to the upward pressure on gold prices.
Conclusion:
Gold’s record-breaking performance is underpinned by escalating trade tensions, shifting monetary policy expectations, and strong institutional demand. While technical indicators suggest potential overbought conditions, the prevailing bullish sentiment is likely to persist, supported by ongoing geopolitical and economic uncertainties.