Gold market analysis

"Gold Prices Tend to Fall Repeatedly This Week" 3/3/2026 10:29 Completed 

From the performance of gold prices yesterday, it can be seen that the safe-haven effect of the Middle East political situation on it is short-lived, and gold prices also lack the momentum they had last year when they were in a strong uptrend. Regarding the military actions that the US and Israel may launch against Iran, the US side has already stated that it will not engage in a protracted war. It is reported that Trump believes that there is no need to deploy ground troops in Iran. 

Spot gold prices rose to a high of $5,393.34 in the early Asian session yesterday, but then dropped rapidly. They rose again to a high of $5,419.32 in the early European session and then fell slowly. In the early New York session, they rose to $5,416.85 but were then blocked and fell. At the close of the London market, they fell to a low of $5,261.23, completely filling the gap in the early Asian session and being nearly $20 lower than the closing price of last Friday. They then gradually recovered. However, in the early Asian session today, they rose to $5,380, slightly breaking through the adjustment low of $5,375.82 before the New York opening yesterday, but then met resistance and fell again. The temporary low was $5,333.37. 

$5,280 is the key resistance for the day. 

Yesterday, the high and low of gold prices were roughly between $5,260 at the 180-degree angle of the Gann Square and $5,410 at the 225-degree angle, representing a relatively wide range of fluctuations. The adjustment low in New York City was close to the 50SMA on the hourly chart (currently around $5,353.95), and was not far from the high of the upward trend from February 17 to 24 at $5,230.64. The subsequent resumption of the upward trend was also expected. Assuming that the market's risk-averse sentiment has not completely dissipated, even if gold prices have the strength to rise, it would be extremely difficult to break through $5,410 and then climb significantly further. Personally, I rule out the possibility of a sustained rise in gold prices and instead pay attention to the opportunity for a continued downward adjustment. 

In the short term, it is expected that the gold price will remain within the range of $5,260 to $5,410. The first key resistance level is at $5,380, followed by $5,410. From the perspective of short-term cyclical trends, the gold price has already peaked yesterday, or in other words, the top of this week has been formed. The trend for this week is likely to be a repeated decline. Measuring the movement since yesterday's high with the Fibonacci extension, a 100% extension would bring the gold price down to $5,221.99. If it retraces 50% of the largest increase since February 17th, the gold price will reach $5,130.27. 

The above content is for reference only and does not constitute investment advice.