Investors are currently cautiously watching whether Iran and Oman can reach an agreement on the passage of merchant ships through the Strait of Hormuz, which could alleviate concerns about the closure of the waterway. If this agreement is finalized and oil prices subsequently decline again, investors’ risk-averse appetite for buying gold at lower prices should be boosted, which would be beneficial for gold prices to rise repeatedly.

Additionally, if the latest US non-farm payroll data released later tonight is significantly lower than expected and the previous data, investors’ expectations that the Federal Reserve is not yet confident in raising interest rates will increase, which would also provide support for gold prices.

Gold prices are expected to trade between $4,197 and $4,292 in the short term. It is advisable to establish positions at lower levels, with a short-term bullish outlook. A stop-loss order could be placed at $4,177.

Gold Price 1-Hour Chart:

Ferris Kwok

Chief Analyst
Success Finance Group

Email: ferris.kwok@successfn.com