XAUUSD – the calm before the next breakout?Hello traders, what’s your take on the current trend in OANDA:XAUUSD ?
Looking back over the past 12 months, gold has delivered a truly impressive performance. From around $2,380 in August 2024, the precious metal surged to an all-time high of $3,432 by April this year — a gain of more than $1,000 in less than a year. But what’s more telling than the rise itself is how the market behaved afterward: instead of crashing, gold has maintained a high consolidation range, suggesting the uptrend is still very much alive.
This powerful rally didn’t happen in isolation. In a world marked by uncertainty, gold has once again asserted its role as a safe-haven asset. Inflation remains persistent across major economies, geopolitical tensions continue to stretch from Eastern Europe to the Middle East and Asia, and de-dollarization efforts by countries like China and Russia are reshaping global capital flows. None of these events alone could shake the markets, but together, they have laid the groundwork for gold’s sustained relevance.
From a technical standpoint, the long-term bullish structure remains intact. Following its peak at $3,432, gold has entered a modest correction phase — one that may well be a healthy consolidation before the next directional move.
Interestingly, while many investors remain cautious, the chart paints a different story: a market that isn’t afraid, but simply catching its breath. The real question is no longer “Can gold hold above $3,400?” but rather “Is the market gearing up for a fresh breakout — or a deeper correction?”
We may not be able to predict the future, but we can observe how price reacts at key levels. And sometimes, it’s in these seemingly quiet phases that the biggest turning points begin to form.
What do you think — is gold preparing for another leg up?
Drop your thoughts in the comments below! 👇
