Gold Price Action Analysis

This chart provides an in-depth technical analysis of Gold (XAU/USD), focusing on crucial support and resistance levels. The Key Resistance at 5,211.636 USD is a significant level where the price could face strong rejection, while the Minor Resistance at 4,865.079 USD is another key level to watch for potential reversal or continuation.

On the downside, Support Zone at 4,739.850 USD is expected to hold the price, offering a potential for bullish reaction. The Critical Support at 4,645.014 USD is an important level for a price reversal or breakdown. If the price falls below, Major Support at 4,376.432 USD and Lower Support at 4,140.773 USD are levels to monitor for a potential rebound.

Major stock indexes closed mostly lower Friday after March inflation data soared and consumer sentiment hit an all-time low, although they posted a second straight week of gains.

The blue-chip Dow Jones Industrial Average and benchmark

S&P 500 ended down a respective 0.6% and 0.1%, while the tech-heavy Nasdaq Composite finished up 0.4%. For the week, the Nasdaq, S&P 500, and Dow ended up 4.7%, 3.6%, and 3.0%, respectively.

1. The 10-year Treasury yield, which influences interest rates on mortgages and other consumer loans, was recently at 4.32%, up from 4.28% at Thursday's close, after the highly anticipated Consumer Price Index report matched expectations.
2. Consumer prices rose 0.9% in March, one of the steepest monthly inflation spikes on record and the largest since June 2022, and increased 3.3% year-over-year.
3. Core inflation, which strips out volatile prices like food and energy, rose 0.2% month-over-month, less than the 0.3% expected, and 2.6% year-over-year, below the 2.7% consensus.

Meanwhile, the University of Michigan consumer sentiment survey for April fell to its lowest level ever, 47.6, down from 53.3 last month and well below the 52.0 expectation, as Americans are concerned about the impacts of the Iran war.

West Texas Intermediate futures, the U.S. crude oil benchmark, was down 1.6% to $96.25 a barrel at 4 p.m. ET, and Brent crude, the global benchmark, settled 0.8% lower at $95.20. Tanker traffic through the Strait of Hormuz remains limited even though the U.S. and Iran had agreed to a two-week ceasefire.

1. President Donald Trump wrote on Truth Social last night that "Iran is doing a very poor job, dishonorable some would say, of allowing Oil to go through the Strait of Hormuz. That is not the agreement we have!"
2. The U.S. dollar index, which tracks the value of the greenback against a basket of foreign currencies, was 0.2% lower at 98.66. Gold futres declined 0.7% to $4,785 an ounce. Bitcoin was recently trading at $73,100, up from overnight lows around $71,450.
3. Shares of the Magnificent Seven tech giants ended mixed, with the biggest move in either direction a 2.6% advance by Nvidia (NVDA).

U.S.-listed shares of Taiwan Semiconductor Manufacturing Co. (TSM) closed up 1.4% after the world's largest contract chipmaker reported record quarterly revenue on strong AI demand.