Gold Price Analysis: Key Support at 100-Day SMA and Critical Resistance near $3,400 Ahead of Potential Rally
Gold prices are currently testing a key support level at the 100-day simple moving average (SMA) while facing strong resistance near $3,400. Despite recent pullbacks, gold remains near record highs supported by unprecedented central bank buying and ongoing geopolitical tensions. Central banks are driving a structural shift in gold demand, with significant monthly purchases bolstering prices and reinforcing gold’s role as a safe-haven asset amid global uncertainty. Technical analysis indicates a downward-leaning trend with critical support around $3,270 to $3,180 and resistance levels up to $3,385, suggesting cautious optimism ahead of a potential rally. Investors continue to view gold as a hedge against inflation and market volatility, maintaining its appeal as a steady store of value in 2025.

