Gold (XAU/USD) Price Forecast: Tight Four-Day Range – Highest Close Since October Looms

Wednesday’s Continued Consolidation

Although gold remained inside a tight four-day consolidation zone on Wednesday, it is on track to end the session at its highest daily closing price since the October bottom. If it closes above the October 26 close of $4,326, it will mark the second highest daily closing price historically, behind only the $4,356 record set two days later. A higher daily closing price would show buyers in charge and a strengthening of the short-term trend, joining advancing trend indicators—moving averages and trendlines—as gold rises further away from those levels.

Range Top Resistance

A new higher swing high for the short-term advance at $4,353 was reached last Friday, resulting in three tight days of consolidation near that high. Wednesday’s high of $4,349 marked the third recent test of that resistance zone. A decisive breakout above triggers resolution of the four-day range and continuation of the short-term uptrend. Retained bullish momentum thereafter positions gold for a new trend high breakout above $4,381.

Bull Trend Confirmation

The bull trend in gold has been rebounding from an October retracement low of $3,886 with strength confirmed by breakouts above the 20-day and 10-day averages, subsequently defended as support during pullbacks. The advance also delivered a second bull breakout of two rising trend channels—one long-term and the other measuring the advance begun in March 2024—after the first October attempt failed and produced the brief bearish correction.

Dynamic Support Confluence

Gold is expected to resolve to the upside if it remains above the key dynamic support area. The 10-day average at $4,256 is rising and about to advance above the top of the shorter channel. Momentum has been lacking overall during the recent advance, but momentum could be triggered once the 10-day average meets up with price. In its current location, it represents potential support along with the top channel line and near-term uptrend line, which cross in a day. Three indicators identifying a similar potential support area strengthens its significance either as support or a pivot that breaks to the downside.

Outlook

Gold’s persistent tight range near the $4,353 high and advancing averages keep the bull case dominant with buyers positioned to deliver the strongest close in months. Clearance of $4,353–$4,381 unlocks new record territory; hold the converging 10-day/channel/uptrend support on any weakness and the path of least resistance stays higher.

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