Gold closed at $4,363 per ounce after failing to break the $4,484 200-day moving average, a key technical hurdle.
Gold prices retreated to $4,363 per ounce on Wednesday after encountering resistance at the 200-day moving average, currently near $4,484. The metal has rallied 6.3% over the past month, outpacing the S&P 500’s 2% gain during the same period.
The 200-day moving average is a widely tracked indicator used to gauge long-term trends. Assets trading above this level are typically considered in an uptrend, while a break below may signal increased selling pressure. Gold’s recent rebound has been fueled by softer U.S. labor data, reducing expectations for further Federal Reserve tightening.
Analysts note central bank demand and geopolitical risks continue to support gold’s safe-haven appeal. However, the metal remains below its 200-day average, leaving its next move uncertain.