Gold prices (XAU/USD) experienced selling pressure again throughout Friday's Asian session, failing to capitalize on the strengthening momentum established in the previous day's trading.
As international fund managers digested the FOMC Meeting Minutes, the US Dollar (USD) managed to stage a slight technical rebound from a one-week low. The greenback's strengthening acted as a heavy anchor for bullion's movement, forcing gold to move defensively and remain on track for a modest weekly loss.
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✅ Dual Geopolitics: CENTCOM's Large-Scale Operation vs. Trump's "Last-Minute" Peace Signal
Global financial markets were forced to navigate extreme volatility due to the clash of military and diplomatic narratives from Washington over the past 24 hours:
- 🔸CENTCOM Missile Rain: US Central Command (CENTCOM) confirmed that its military launched a massive airstrike on Thursday, destroying 90 strategic military targets inside Iran. This large-scale operation wiped out air defense systems, missile installations, and naval logistics infrastructure along Iran's coastline in retaliation for the previous destruction of three oil tankers. Tehran retaliated instantly by sending a wave of drones and missiles toward US bases in Bahrain and Kuwait.
- 🔸Trump's Surprising Statement: However, market panic subsided after President Donald Trump made a surprising statement to reporters on Thursday night that Iran had actively contacted the White House to request a new peace agreement with the US. Furthermore, a senior White House official hinted that Washington was still fully committed to the initial diplomatic memorandum of understanding. This mixed signal between physical escalation and potential political compromise has institutional investors holding their aggressive positions (market hesitation).
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✅ XAU/USD Technical Analysis (Intraday)
Technically, gold's movement remains trapped within a weekly decline, indicating the need for further massive buying before confirming a short-term bottoming out:
- 🔸Short-Term Bias Remains Downward: Gold's failure to hold above the $4,150 level indicates that the remaining daily buying momentum is very weak. Any relief rally is projected to continue to encounter concentrated selling supply from institutional algorithms.
- 🔸Risk of a Retest of the $4,020 Floor: The immediate tactical downside target for bears at the close of tonight's New York session is to drag the spot price back down to retest the weekly trough at $4,020. A breach of this level would open the door to liquidation towards the $3,950 range.
As international fund managers digested the FOMC Meeting Minutes, the US Dollar (USD) managed to stage a slight technical rebound from a one-week low. The greenback's strengthening acted as a heavy anchor for bullion's movement, forcing gold to move defensively and remain on track for a modest weekly loss.
------------------------------------------------------------------------------------------------------------
✅ Dual Geopolitics: CENTCOM's Large-Scale Operation vs. Trump's "Last-Minute" Peace Signal
Global financial markets were forced to navigate extreme volatility due to the clash of military and diplomatic narratives from Washington over the past 24 hours:
- 🔸CENTCOM Missile Rain: US Central Command (CENTCOM) confirmed that its military launched a massive airstrike on Thursday, destroying 90 strategic military targets inside Iran. This large-scale operation wiped out air defense systems, missile installations, and naval logistics infrastructure along Iran's coastline in retaliation for the previous destruction of three oil tankers. Tehran retaliated instantly by sending a wave of drones and missiles toward US bases in Bahrain and Kuwait.
- 🔸Trump's Surprising Statement: However, market panic subsided after President Donald Trump made a surprising statement to reporters on Thursday night that Iran had actively contacted the White House to request a new peace agreement with the US. Furthermore, a senior White House official hinted that Washington was still fully committed to the initial diplomatic memorandum of understanding. This mixed signal between physical escalation and potential political compromise has institutional investors holding their aggressive positions (market hesitation).
------------------------------------------------------------------------------------------------------------
✅ XAU/USD Technical Analysis (Intraday)
Technically, gold's movement remains trapped within a weekly decline, indicating the need for further massive buying before confirming a short-term bottoming out:
- 🔸Short-Term Bias Remains Downward: Gold's failure to hold above the $4,150 level indicates that the remaining daily buying momentum is very weak. Any relief rally is projected to continue to encounter concentrated selling supply from institutional algorithms.
- 🔸Risk of a Retest of the $4,020 Floor: The immediate tactical downside target for bears at the close of tonight's New York session is to drag the spot price back down to retest the weekly trough at $4,020. A breach of this level would open the door to liquidation towards the $3,950 range.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.