Gold price forecast remains bullish as the metal stabilizes around $3,400. Traders are watching closely as the US Nonfarm Payrolls (NFP) report approaches. This data is expected to influence the Federal Reserve’s rate decisions, potentially boosting gold prices further.
Despite recent market volatility, gold has shown resilience. Analysts continue to expect an upward trend in the coming weeks.
Current Market Conditions: Gold Price Forecast Trends
As of early Friday morning, gold (XAU/USD) is trading above $3,350 with slight daily gains. The US Dollar is also recovering from previous lows as investors position themselves ahead of the key NFP report.
Although small dips occur, broader sentiment remains optimistic. This is driven by global uncertainties and investor interest in safe-haven assets.
To learn more about how gold reacts to dollar moves.
Technical Indicators and Resistance Zones: Gold Price Forecast
Technical charts point to continued bullish momentum. The Relative Strength Index (RSI) remains above the midpoint, showing buyers are still active. Two important resistance levels to monitor are $3,377 and $3,439. A break above these could push prices to $3,500.
Short-term dips are now seen as buying opportunities. Support levels at $3,318 and $3,297 offer a safety net for bullish traders.
NFP Impact on the Market: Gold Price Forecast Outlook
The upcoming NFP report is expected to show 130,000 jobs added in May, while the unemployment rate is forecast to hold steady at 4.2%.
If job growth is weaker than expected, gold prices could rise. A soft labor report increases chances of a July rate cut, weakening the US Dollar and pushing gold higher.
However, a strong report could have the opposite effect. It might lift the Dollar and cause short-term gold pullbacks. Investors should watch the Bureau of Labor Statistics for official data.
Long-Term View and Central Bank Support: Gold Price Forecast Strengthens
Over the longer term, the gold price forecast remains bullish. One strategist recently highlighted a 30% gain this year and a 44% rise over 12 months. Strong fundamentals are reinforcing the trend.
Central banks are playing a key role. Global gold purchases may hit 1,000 metric tons in 2025 — the fourth straight year of heavy buying. This supports the metal’s upward momentum, especially amid global shifts away from US dollar reserves.
Navigating the Gold Price Forecast
Gold remains in a strong position. With technical support levels intact and long-term demand from central banks, a price breakout remains likely. Much will depend on the jobs report, which could set the tone for the next major move.
To dive deeper into gold market strategy, visit our gold trading analysis section for expert updates and forecasts.
