Gold futures extended gains on Tuesday, pushing above the $4,798 mark after briefly touching a session high of $4,755, according to technical analysis from Investing.com.
The analysis highlights a bullish breakout structure, with prices advancing from a visible low of $4,378 to recent highs. The move above the Weekly Volume-Weighted PMI (VC PMI) mean at $4,703 confirms the intermediate trend remains upward, the analysis notes. The first upside targets are Daily Sell 1 at $4,747 and Daily Sell 2 at $4,798, with a decisive breakout above these levels increasing the probability of an extension toward Weekly Sell 2 at $4,895.
On the downside, Daily Buy 1 at $4,652 and Daily Buy 2 at $4,608 are identified as high-probability support zones, while the Weekly mean at $4,583 serves as a deeper equilibrium level. The analysis suggests corrections toward these levels should be viewed as potential buying opportunities as long as the market remains structurally above the weekly mean.
The August 21 cycle marker coincided with a sharp acceleration phase that carried gold through the $4,600–$4,700 region, the analysis states. The coming sessions will determine whether the market consolidates around the $4,703 mean or extends gains further. From a Gann Square of 9 perspective, the $4,700 area remains a key psychological and geometric pivot, with the $4,747–$4,798 cluster acting as a critical resistance zone.
Underlying fundamentals continue to support the uptrend, according to the analysis. Recent strength in gold coincided with a rise in Treasury yields and a weaker dollar, while safe-haven demand and geopolitical risks provided additional tailwinds. Traders are also monitoring July PCE inflation data and Federal Reserve Chair Kevin Warsh’s upcoming remarks at Jackson Hole, both of which could influence rate expectations and market volatility. China’s net gold imports via Hong Kong increased about 11% in July, further underscoring sustained demand.
The primary trading strategy remains to buy corrections within the bullish trend, with the $4,652 and $4,608 levels offering favorable downside zones. The analysis notes that a sustained breakout through $4,798 would open the pathway toward $4,895.
The analysis emphasizes that VC PMI, cycle analysis, and Square of 9 measurements are probability-based tools and do not guarantee future results. Futures and options trading involves substantial risk and is not suitable for every investor.
