Gold surged after Israel launched a military strike on Iran, prompting investors to move to safe-haven assets.
Markets will now be looking at the potential for a wider escalation in the region and a potential Iranian retaliation. This could keep Haven flows strong in the interim as things unfold over the coming hours ahead of the weekend.
Technical Analysis - Gold (XAU/USD)
From a technical analysis standpoint, the technicals have been pointing to the possibility of upside for the precious metal following the retest of the bear flag breakout earlier in the week.
Gold will be driven largely by the developments between Israel and Iran over the coming days.
For now, though, price is testing the previous swing high of May 6 around 3432 with further resistance possible at 3450 and 3475.
A pullback here may find support at 3400, 3375, and potentially 3333.
Gold (XAU/USD) Daily Chart, June 13, 2025
Source: TradingView
WTI Oil Daily Chart, June 13, 2025
Source: TradingView
Key Levels to Watch: 75.00, 77.87, 80.00 - 71.38, 70.00, 68.58
Oil was up as much as 10% with Gold breaching $3400/oz to trade at $3427/oz at the time of writing. The strikes come after a series of interesting moves by the US and the IAEA announcement today regarding compliance with the UN nuclear watchdog.
The US has distanced itself from today’s strikes by Israel, with the White House releasing a statement from Secretary of State Marco Rubio:
“Tonight, Israel took unilateral action against Iran. We are not involved in strikes against Iran and our top priority is protecting American forces in the region. Israel advised us that they believe this action was necessary for its self-defense. President Trump and the Administration have taken all necessary steps to protect our forces and remain in close contact with our regional partners. Let me be clear: Iran should not target U.S. interests or personnel.”
Israel said it was declaring a state of emergency in anticipation of a missile and drone strike by Tehran, after what it called a "preemptive strike" over Iran’s nuclear programme.
Explosions were heard northeast of Iran’s capital, Tehran, early on Friday, the state-run Nour News said.
According to reports on LSEG, Israel’s strikes on Iran on Friday have likely killed members of Iran’s general staff, including the chief of staff and several senior nuclear scientists, an Israeli defence official said.