Gold on the Edge: Will US Debt Fears Spark a Breakout?

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XAUUSD – Gold on the Edge: Will US Debt Fears Spark a Breakout?
After weeks of muted movement, gold is coiling within a bearish channel — but a fresh warning from Goldman Sachs may be the trigger that changes everything. With concerns mounting over America’s fiscal future, gold could be preparing for a decisive shift.

🌐 Macro View – Goldman Sachs Sounds the Alarm
🔺 Goldman Sachs recently issued a critical warning:

US national debt is expected to exceed WWII levels, with interest payments topping $1 trillion by 2025, outpacing spending on defense and healthcare.

If urgent fiscal reforms aren’t implemented, the US could face a tightening cycle that slows GDP growth without reducing the debt-to-GDP ratio.

The root causes? Excessive spending, rising interest rates, and deep political gridlock.

📌 For global investors, this type of uncertainty is often bullish for gold — especially as a hedge against both inflation and US dollar instability.

📉 Technical Outlook (Updated – M30 to H1)
Gold is still trading inside a well-defined descending channel, with sellers firmly in control.

Price is currently hovering around the pivot zone at 3,338.42, with a possible short-term bounce toward 3,368.04, the upper edge of the channel.

EMA ribbons (13–200) are sharply aligned to the downside, signaling strong bearish momentum.

If the price fails to break above 3,368, the next key support zones lie at 3,325.78, and potentially 3,309.25, where unfilled fair value gaps (FVG) await.

✅ Trade Plan
🟢 BUY ZONE: 3310 – 3308
Stop-Loss: 3303
Targets: 3314 → 3318 → 3322 → 3326 → 3330 → 3340 → 3350 → 3360 →

🟢 BUY SCALP: 3325 – 3323
Stop-Loss: 3318
Targets: 3330 → 3334 → 3338 → 3342 → 3346 → 3350 → 3360 → 3370 →

🔴 SELL ZONE: 3418 – 3420
Stop-Loss: 3424
Targets: 3414 → 3410 → 3405 → 3400 → 3396 → 3390 → 3385 → 3380

🔻 SELL SCALP: 3396 – 3398
Stop-Loss: 3403
Targets: 3392 → 3388 → 3384 → 3380 → 3375 → 3370

💬 Closing Thoughts – A Volatile End to the Week?
With US markets returning from a bank holiday and macro pressure rising, volatility could spike to close the week.

✅ Stick to disciplined SL/TP levels. Avoid premature entries and let price confirm direction.
Gold remains technically bearish — but the global debt narrative could turn this market on its head.

Prepare. Observe. Strike only when the structure aligns.

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