Spot gold turned higher during Thursday's American session, trading near $4,610 per troy ounce after slipping to a weekly low of $4,566 earlier in the day. The recovery came as the US currency softened, even though tensions in the Middle East remained unresolved. Attention shifted to equities, with Wall Street opening higher after strong results from chipmaker Nvidia.
Why gold turned higher
The dollar gave up ground on Thursday, and that helped gold find buyers. The pullback in the US currency happened despite persistent geopolitical tensions, which would normally support the dollar as a safe haven. Instead, market participants focused on the stock market, where Nvidia's earnings, released late Wednesday, lifted sentiment.
Nvidia reported revenue of $96.22 billion for the quarter, ahead of the $92.17 billion analysts had expected and roughly double its revenue in the second quarter of 2025. Net income also doubled year on year, coming in at $53.95 billion, or $2.22 per share, up from $1.87 a share a year earlier. The company said it expects sales this quarter to exceed $100 billion and reach more than $108 billion.
Central bank news was also in focus. The Jackson Hole Symposium, the annual gathering of central bankers in Wyoming, has produced a steady stream of Federal Reserve commentary, much of it hawkish, meaning policymakers leaning towards higher interest rates. Cleveland Fed President Beth Hammack said inflation had become persistent and argued that now was the time to act. Chicago Fed President Austan Goolsbee said tariffs and war-related price increases were complicating the Fed's outlook. Investors are waiting for Fed Chair Kevin Warsh to speak on Friday for further clues on the path of interest rates.
What the charts show
On the four-hour chart, spot gold, quoted as XAU/USD, holds a modest bullish bias. The metal is trading above its 100- and 200-period simple moving averages, at $4,449.40 and $4,254.05 respectively. A simple moving average smooths recent prices over a chosen period. However, it is consolidating just below the 20-period moving average at $4,630.83, which is acting as near-term resistance.
The Relative Strength Index (RSI), a measure of how quickly prices are moving, and the Momentum indicator, which tracks the rate of change, are both close to neutral. That suggests upside pressure is fading rather than signalling a clear reversal.
The daily chart points to a stronger trend. Gold is comfortably above the 200-day simple moving average at $4,525.26, as well as the 20- and 100-day averages at $4,390.47 and $4,376.46. The 14-day RSI stands near 67, a level that shows momentum but stops short of the overbought threshold around 70.
For traders watching the technical levels, a break above $4,630.83 would allow a move back towards recent highs. On the downside, the first significant support is at $4,449.40, followed by the deeper support at $4,254.05. A move to that second level would put the broader bullish structure under pressure.
Key takeaways
- Spot gold recovered to around $4,610 on Thursday after setting a weekly low of $4,566.
- The US dollar softened, while Wall Street rose after Nvidia's earnings beat expectations.
- Federal Reserve officials at Jackson Hole leaned hawkish, with Chair Kevin Warsh due to speak on Friday.
- Gold holds above key moving averages on the daily chart, with near-term resistance near $4,631.
Common questions
What is XAU/USD?
XAU/USD is the symbol used for spot gold quoted in US dollars per troy ounce. Spot gold trades over the counter between dealers rather than on a central exchange.
What is the Jackson Hole Symposium?
It is an annual central banking conference held in Wyoming. This year, several Federal Reserve officials have spoken, and Chair Kevin Warsh is scheduled to appear on Friday.
What does the Relative Strength Index measure?
The RSI measures the speed and size of recent price moves on a scale from 0 to 100. Readings near 70 are often viewed as overbought, while readings near 30 are seen as oversold. The 14-day RSI on gold was near 67.
For a real-time view of where spot gold is trading, follow the live gold price.