Gold prices have risen above 3100, showing a return of bullish sentiment following a brief decline. Gold bulls strike back with a sharp recovery as prices surge above 3100 after recent losses. After briefly dipping below the 3000 level, gold’s strong comeback to 3123 shows resilience amid heightened global uncertainty. Analysts from OCBC, Frances Cheung and Christopher Wong, suggest this rebound reflects more than just technical correction—it underscores gold’s strategic hedge status in volatile times.
Key Highlights:
- Gold rebounded from under 3000 to trade near 3123, regaining bullish momentum.
- Market turbulence and trade risks are driving demand for gold as a safe-haven asset.
- Technical indicators point to an upside, with key resistance seen near the 3167 mark.
Market Context
Gold’s rebound follows a sharp sell-off caused by broad liquidation and possible margin calls.
However, as the dust settles, gold bulls strike back as investors seek a reliable safe-haven asset.
Its time-tested role during economic and geopolitical stress continues attracting cautious and strategic capital inflows globally.
As global rhetoric around protectionism grows, so does the market’s anxiety over possible shifts in trade dynamics. Such scenarios have traditionally bolstered gold’s appeal. According to OCBC analysts, gold now acts not only as an inflation hedge but also as a buffer against geopolitical fragmentation and economic disorder.
Moreover, the ongoing reshuffling of global trade frameworks adds a layer of uncertainty that makes safe-haven assets like gold more attractive. Market participants are reacting to this by reallocating their portfolios, which further supports rising gold prices.
Technical Insights
- The bearish momentum observed on the daily chart has faded significantly.
- The Relative Strength Index (RSI) has turned higher, indicating renewed bullish pressure.
- Resistance is projected around 3167, marking the most recent swing high.
- Support levels are seen at 3048 (aligned with the 21-day moving average) and at 2960 (the 50-day moving average).
These signals point to upside risk remaining intact, especially if gold maintains traction above the 3100 mark. Traders may watch for confirmation of a breakout past 3167 to validate sustained bullish momentum.
Expert Insight
Frances Cheung and Christopher Wong from OCBC emphasize that “as protectionist rhetoric escalates, markets are increasingly pricing in policy uncertainty.” They add, “Gold has its role as a strategic hedge—not Not just against inflation, but also geopolitical turmoil and threats to global economic stability and order.
This sentiment strengthens gold’s established role as a stabilizing asset within diversified portfolios.
Conclusion
Gold’s recent rebound above 3100 is more than a technical correction—it highlights the market’s rising concerns about global trade tensions and economic uncertainty. With bearish momentum easing and RSI indicators pointing up, the risks remain skewed to the upside. A break above 3167 may signal stronger bullish momentum ahead.
For the latest insights and daily gold analysis, visit Daily Gold Signal. Read more updates on gold movements at our Daily Gold Update category.
