Gold holds firm above $4,140 support
Gold (XAU/USD) continues to edge higher and is on track to close the week with a 2.7% gain, supported by growing expectations of monetary easing from the Federal Reserve. The metal was capped at $4,190 earlier on Friday, as the US Dollar strengthened slightly during a quiet Thanksgiving session. However, downside attempts remain limited above the $4,140 support level.
The US Dollar Index (DXY), which measures the greenback against a basket of six major currencies, is recovering slightly due to a mild rebound in US Treasury yields. Still, the index remains on track for its worst weekly performance in months. Dovish remarks from Federal Reserve officials and weaker-than-expected consumption data have fueled investor expectations for a rate cut in December, pressuring both yields and the Dollar throughout the week.
The 4-hour RSI is trending above 60, indicating growing bullish momentum.
The MACD has turned upward and crossed the signal line, reinforcing the positive technical bias.
The move above $4,100 confirms the end of the bearish correction from November highs.
Bulls are now focused on the November 14 high at $4,210, with the monthly peak at $4,245 as the next target.
$4,140: November 27 low and current support
$4,100: November 25 low
$4,025–$4,040: Lows from November 21 and 24
A break below $4,140 could shift momentum toward $4,100, and further down to the $4,025–$4,040 zone. However, as long as these levels hold, the bullish trend remains intact.
Summary: Gold remains firm above $4,140, supported by a weak US Dollar and expectations of monetary easing. Technical indicators point to continued bullish momentum, with $4,245 as the next major target. Traders are watching key support levels closely, as any break below $4,140 could trigger a deeper correction.