Gold edges higher after weak ISM Manufacturing PMI

💡 DMK Insight

Gold’s bullish momentum is fueled by geopolitical tensions, and here’s why that matters: With XAU/USD trading around $4,448, up nearly 2.70% today, traders should be keenly aware of the implications of rising safe-haven demand. The ongoing tensions between the US and Venezuela are likely to keep gold in focus, especially as investors seek stability amidst uncertainty. Historically, periods of geopolitical strife have led to significant rallies in gold prices, and this could be no different. If the price breaks above recent resistance levels, we might see further upside, potentially targeting higher levels in the coming weeks. But don’t overlook potential volatility. If the situation de-escalates, we could see a quick pullback. Keep an eye on the $4,400 support level; a drop below this could signal a shift in sentiment. Also, monitor related assets like silver and the broader commodities market, as they often react in tandem with gold. The real story is how sustained these tensions will be and whether they can keep gold elevated in the long term.