Gold: Indecisiveness Could Trigger a Gap Opening as New Week Kicks Off

After reviewing the movements of the gold futures in different time chart patterns since October 20, 2025, when the futures tested a record high at $4398.72, followed by a sharp sell-off, experienced a pullback of approximately 8.48% within next two trading sessions that grimed the scenario all of a sudden while most of the investors were bullish about the continuity of a rally.

Undoubtedly, this pullback attempted to sustain itself above the immediate resistance at $4137 but failed due to extensive bearish pressure below the second significant resistance at $4174.78, amid surging hopes for further rate cuts by the Federal Reserve and a positive resolution to trade tariffs between the U.S. and China.

I explained the entire scenario of this prevailing indecisiveness while discussing the expected directional moves of the gold futures in relation to the news flow on both these issues.

Finally, how that meeting between the U.S. President Trump and President Xi shift into a diplomatic action from both sides without any solid outcome, only postpone the trade deal while some of the primary deals extended exhaustion below the significant resistance at $4134.36 last week as the gold futures tested the week’s high at $4123.69, a low at $3901.66, finally closed the week at $4113.30.

Now, recent developments on Saturday seem to be evident enough to extend the prevailing indecisiveness further in the coming weeks.

On Saturday, the Pentagon has given the White House the green light to supply Ukraine with long-range Tomahawk missiles Kyiv has been eager to receive, after assessing that such a move would not deplete U.S. stockpiles, CNN reported Saturday, citing three American and European sources familiar with the matter.

Now, I find that the currently prevailing scenario could provide a gap on opening of the next week – news flow could generate a gap-up while the technical formations support a gap-down below the immediate support at $3988, as last Friday’s bearish candle looks convincing enough for a gap-down start next week.


Undoubtedly, if the gold futures find a breakdown below the significant support at the 50 DMA ($3880.84) and sustain there could signal further weakness next week, despite some in-between bouncing moves.

Inversely, a gap-up above the immediate resistance at $4058 could extend the indecisiveness further, as the next resistance is at $4077.84, from where a selling spree could start – only a sustainable move above this could extend the bullish sentiments.

However, the final decision still remains in the hands of U.S. President Donald Trump. If Trump chose to halt the move following a phone call with Russian President Vladimir Putin, who warned that supplying the missiles would escalate the conflict and harm relations between Washington and Moscow, it could ease the grim situation and trigger a selling spree in gold once again.

The gold futures will define the further directional will depend on geopolitical and diplomatic action next week. I will explain the further course of further technical levels to watch next Tuesday.

Disclaimer: Readers are advised to take any position in gold at their own risk, as this analysis is based only on observations.