Gold Hits Records
Gold (XAU/USD) entered 2026 strongly, testing $2,900 levels. It gained approximately 15% compared to last year.
5 Fundamental Reasons Behind the Rally
1. Central Bank Gold Purchases
Central banks led by China, India, and Turkey continue purchasing record amounts of gold. A total of 1,100 tons were bought in 2025.
2. Geopolitical Risks
Global geopolitical tensions strengthen gold's "safe haven" status.
3. Fed Interest Rate Policy
Expectations of Fed rate cuts support gold. Lower rates make non-yielding gold relatively more attractive.
4. Dollar Weakness
The weakening DXY trend supports dollar-denominated gold.
5. Inflation Concerns
Global inflation still above central bank targets increases demand for gold as an inflation hedge.
Technical Outlook
Gold is in a strong uptrend technically. $2,850 is strong support, with $3,000 psychological resistance above.
- Short-term Target: $2,950 - $3,000
- Medium-term Target: $3,100 - $3,200
- Critical Support: $2,850 - $2,800
How to Trade Gold in Forex?
Gold trades under the XAU/USD symbol on Forex platforms. 1 standard lot = 100 ounces of gold.
Tip: Gold spreads are higher than currency pairs. Swing trading strategies may be more suitable than scalping.
Risk Warning: This analysis is not investment advice. All commodity trading including gold involves high risk.