Gold Cycle Analysis Points to High-Probability Turning Window

Published 26/08/2025, 16:33
Updated 26/08/2025, 16:42

Gold Futures are at a critical juncture, pressing against resistance as both short-term and long-term cycles converge into a powerful turning window. At 3419, the market sits in equilibrium, balanced between the daily VC PMI pivot of 3423.5 and the buy zone at 3406–3381. The weekly framework confirms this symmetry: 3398 marks the weekly mean, supported by 3374 and 3328 below, with resistance levels stacked tightly overhead at 3444 and 3468. This clustering of levels reflects a market that has moved swiftly off the recent low at 3353.4, rallied into the 3434.7 high, and is now consolidating in a zone of indecision.Gold Futures Chart

The Fibonacci grid reinforces this analysis. Price is pivoting directly on the 23.6% retracement at 3419, with the 0% line above at 3445 matching daily Sell 1. Beneath, the deeper retracement levels at 3367 (78.6%) and 3352 (100%) define the downside risk should mean reversion unfold. In other words, the market is coiled at a shallow retracement, suggesting potential for another upward extension, but equally vulnerable to reverting toward deeper Fibonacci support.

Overlaying this structure are the powerful forces of time. The 30-day cycle, last troughing near July 26, comes due in the August 24–28 window. Simultaneously, the 360-day Gann Master Cycle, anchored to the August 28, 2024 low, reaches its annual anniversary this week, August 28, 2025. Such synchronicity of minor and major cycles is rare, often producing inflection points of significant magnitude. The convergence of these time frames suggests that the rally from 3353 into 3434 may be reaching its natural climax, with volatility and reversal risk elevated through the end of August.

Gold Futures - Gann Master Cycle

Momentum offers a final clue. The MACD remains positive at +1.57, but the slope has flattened, confirming consolidation rather than expansion. This reflects a market gathering energy for the next move. If price sustains above 3406–3398, upside tests of 3445–3459 are likely, with a breakout to 3468 possible. Yet traders must recognize the heightened probability of reversal within this time window. Scaling longs into resistance should be accompanied by disciplined stop management, with profit-taking into the Sell 1 and Sell 2 zones. Conversely, a breakdown below 3406 would confirm mean reversion toward 3381–3374, or deeper to 3352.

In summary, Gold stands at the crossroads of price and time. The alignment of VC PMI pivots, Fibonacci retracements, and Gann cycles between August 26–30 creates a high-probability inflection zone. Traders should prepare for a decisive move, but above all, remain adaptive—this is a week when discipline and timing will define success.

 

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