Interpretation of gold market news
On Monday (December 22), during the Asian market's early session, spot gold had a strong start, soaring to $4387/ounce, and is currently trading around $4387. Looking back at last week, spot gold rose by 0.14% to $4338.22/ounce, with a cumulative increase of 0.89% for the week. Analysts generally remain optimistic about its continued rise under the pressure of low interest rates and currency depreciation, with the possibility of reaching a new high of $4400 in the first half of 2026. Despite the upcoming Christmas holiday this week, the delayed release of the U.S. GDP data for the third quarter still requires investors' attention.
The interlinkage effect in the precious metals sector provides strong support for gold. Last Friday, spot gold saw a slight increase, while silver performed even better, with a daily increase of 2.5% and a weekly increase of as much as 8.4%, reaching a historical high of $67.45. The tight balance of supply and demand and the surge in investment demand have become core driving forces. Notably, the leading performance of silver over the past two months has widened the gold-silver price gap, which has in turn stimulated a return of funds to gold, tightening the price gap in the short term and pushing gold prices higher. As a sector 'anchor,' gold's safe-haven attributes become more appealing in the context of turmoil in the bond and currency markets.
Geopolitical risks continue to safeguard gold prices. On December 21, the U.S. presidential envoy revealed that Ukraine and its U.S. and European partners held pragmatic meetings regarding a peace timetable, coupled with rising tensions in the Middle East — frequent events such as U.S. airstrikes in Yemen and Ukrainian raids on Russian oil tankers mean that global conflicts are unlikely to be resolved in the short term, and the ongoing uncertainty will further strengthen gold's safe-haven buying.
A concise analysis of the trends over the next three days
• December 22 (Monday): Mainly oscillating upward, with historical highs near $4387. The RSI indicator being overbought has triggered short-term profit-taking pressure, and geopolitical risk sentiment will limit the pullback space.
• December 23 (Tuesday): The release of U.S. third-quarter GDP data will dominate fluctuations. If the data is weak, it could reinforce expectations for interest rate cuts, and gold prices may challenge $4400; if the data exceeds expectations, it could test the integer support at $4300, with market liquidity tightening in advance, intensifying oscillations.
• December 24 (Wednesday): Narrow consolidation before the Christmas holiday, with the trading range likely narrowing to $4320-4360. Reduced volatility due to capital exit, along with central bank gold purchases and geopolitical risks providing a floor, makes significant pullbacks unlikely.
Technical analysis of gold
Last week, gold continued its upward rhythm, opening at $4300.1 and first rising to $4351. After pulling back to $4371.1, it surged again, reaching a weekly high of $4374.5, and ultimately closing at $4338.6. The weekly line shows a slightly longer upper shadow, forming a spindle shape.
The hourly oscillating upward trend is clear, with bulls continuously exerting force along the upward trend line, and the support level has been raised to $4315. In terms of operations, a dip above $4315 in the early session can be used to strategically place long positions; if it directly breaks through the historical high of $4383, follow up with long positions on the pullback, as bulls are expected to challenge historical highs, and the upward trend may continue.
