Gold market analysis

"Gold Price Still Faces Resistance at 50-Day Moving Average" 12/5/2026 10:58 Completed
Earlier, Trump expressed extreme dissatisfaction with Iran's response to the 14-point ceasefire proposal put forward by the United States. Subsequently, he threatened to seriously consider taking military action against Iran again. An Iranian official stated that the United States demands that Iran hand over its 60% enriched uranium and opposes transferring it to Russia but to a third country instead. Iran and the United States have serious differences over issues such as the disposal of enriched uranium, the duration of the suspension of uranium enrichment activities, and war reparations. 

However, the spot gold price quickly rebounded after hitting a low of $4,648.3 in the midday Tokyo session yesterday. It even filled the gap left by the decline in the Asian session in the early New York session, reaching a high of $4,748.46 before consolidating. It closed at $4,708.21 in London and then rose again. This morning in the early Asian session, it once reached a high of $4,773.38, but then dropped sharply to a low of $4,720.51 before stabilizing slightly. 

From the daily chart, the gold price broke through the 50SMA (currently around 4750) yesterday and closed higher. Today, it continued to rise but encountered strong resistance at that line. However, it's still worth noting that the gold price closed with a bullish candlestick pattern yesterday, indicating a strong upward momentum. But why did the market react so differently this time when Trump threatened to attack Iran again? I can only interpret this as the market taking action earlier than Trump. Investors expect another "TACO" from Trump this time. Whether this is right or wrong, time will tell. 

However, in terms of technical trends, the 50SMA remains a strong resistance for gold prices. I will still be cautious about the upward trend of gold prices until it closes above this line for three consecutive days. Based on short-term cyclical trends, the short-term top of gold prices may have occurred today. However, if gold prices continue to rise and keep setting new highs in recent days, it is expected to peak on Thursday. From the perspective of Gann theory, the 45-degree angle at 4810 US dollars is regarded as the main short-term resistance for gold prices. After only slightly breaking through the 4660 US dollar level angle yesterday, it was still able to hold above it and launched a strong upward wave, indicating that gold prices are still fluctuating between 4660 and 4810 US dollars. The median of 4735 US dollars may be regarded as the good and bad dividing line for the day! 

The above content is for reference only and does not constitute investment advice.