Gold pushes back above $4700: Can it sustain the momentum?

The price of gold began the week slightly lower as the US dollar continued its rebound. However, the metal soon regained momentum, climbing back above $4,700 per ounce. Gold reached a new weekly high of approximately $4,722 before relinquishing some gains, supported by a weaker US dollar and renewed risk appetite stemming from the possibility of a US-Iran peace agreement. The depreciation of the dollar also contributed to gold’s performance, as a weaker dollar makes gold more affordable for international buyers. Nevertheless, gold remains down by about 12% since the onset of the US-Iran conflict.

Gold Retreats Slightly Following US ADP Data

Gold prices experienced a modest pullback from their daily highs after the release of the US ADP private employment report. The latest data indicated that US private businesses added 109,000 jobs in April 2026, a significant increase from the revised March figure of 62,000. This robust employment growth signals continued cooling in the labor market and reinforces expectations of a hawkish stance from the Federal Reserve.

Looking ahead, volatility is expected to remain elevated this week, with geopolitical developments taking center stage. Gold traders are also likely to monitor upcoming economic releases, including the US Non-Farm Payroll (NFP) numbers. The payrolls report is particularly important, as it will influence future monetary policy decisions amid the Federal Reserve’s cautious approach. Additionally, comments from Federal Reserve officials this week should be closely watched for further insight into the central bank’s potential future moves.

Gold (XAUUSD) Technical Forecast

From a technical perspective, the daily chart shows that gold surged above the $4,700 level, establishing a new weekly high at $4,722. The price is currently consolidating these recent gains. Moving forward, the $4,645-30 range will be a key support area to monitor. And if there is a consolidation wave below this area, the price could face support near the $4,580/60 level. On the upper side, $4,725/35 is the immediate resistance zone to focus on this week, followed by the key $4,745/50 zone. Furthermore, the chart below reveals a few key levels that act as the areas of supply and demand for this week.

 

Warning! This material is not intended as investment advice. Past performance data does not guarantee future returns. Investing in foreign currencies may affect your returns due to their fluctuations. Any transaction in securities may result in both profits and losses. The assumptions and expectations set forth in this material are only estimates that may not be accurate and may change depending on current economic conditions. These statements do not guarantee future returns.