Gold: Constructive dip-buying outlook – ING

💡 DMK Insight

Gold’s rebound above $4,900/oz is crucial for traders navigating a volatile market. The recent dip was largely driven by a stronger Dollar and risk-off sentiment, which often pressures gold prices as investors flock to safer assets. However, ING’s commodities team suggests this pullback is merely corrective, indicating potential for a bullish reversal. Traders should watch for sustained momentum above this $4,900 level, as a failure to hold could signal further weakness. Additionally, with thin liquidity in Asian markets, volatility may remain heightened, making it essential to monitor trading volumes closely. On the flip side, if the Dollar continues to strengthen, it could create headwinds for gold, especially if we see a shift in risk sentiment. Keep an eye on correlated assets like silver and the broader commodities market for additional signals. The next few trading sessions will be pivotal, so setting alerts around the $4,900 mark could provide actionable insights for positioning.