Gold touched $4,703.51, pushing deep into overbought territory as the rally builds on last week's breakout above its 200-day moving average. The advance now faces $4,716 as its recent all-time-high resistance, with $4,850 and the $5,000 mark next in view if bulls can clear it.
Gold's five-hour chart notched $4,703.51, still deep in overbought territory even as bulls hold the broader trend. The metal is building on last week's breakout above the 200-day simple moving average, which lifted it to its highest level since mid-May.
Bulls hold the trend, but momentum runs hot
Price sits above its 20-, 50-, and 200-period moving averages, and the MACD stays bullish at 66.16 against 53.28. Yet the advance has stretched thin: the RSI reads 76.36 and the MFI 82.50, both firmly overbought, while price trades 3.3% above its 20-period moving average in what the report calls a parabolic advance roughly 90% complete.
A separate analysis notes momentum remains positive even though the RSI is flatlining at the overbought threshold, which could mean the rally slows or consolidates before its next leg higher.
Resistance clusters ahead of $5,000
Clearing resistance near $4,680 could open the path toward $4,850, the 61.8% Fibonacci retracement, and potentially the $5,000 psychological level. Traders are also watching the $4,640–$4,700 range as a no-trade zone, where chasing the move now would mean buying late, after a parabolic extension.
Where the floor could crack
The $4,558 level, aligned with the 20-day moving average, is the must-hold support for bulls; losing it would shift momentum to sellers. On the other timeframe, a decisive move back below $4,600 could expose the $4,500 support region and undermine the broader bullish structure.
Sources: Commodities & Futures News, Commodities Analysis & Opinion
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