Eos Energy announces stock offering to fund convertible note buyback
Gold has always been a barometer of global uncertainty, but this week, the stakes are higher than ever. With markets on edge and investors searching for safe havens, gold futures are at a crossroads—poised to swing dramatically as a wave of developments sweeps across the financial landscape.
From shifting expectations of US interest rate cuts to the fallout of the government shutdown, the coming days promise a whirlwind of volatility that could redefine the current trend. Buckle up: Wobbly Wednesday might just be the turning point for gold.
On Tuesday, gold futures rose in Asian trade amid growing uncertainty over US trade policy and interest rates. The recent strength in the dollar did little to deter bullion. U.S. lawmakers moved close to ending the country’s longest-ever government shutdown. Meanwhile, the yellow metal rebounded sharply to back above the coveted $4,000/oz level this week, largely shrugging off pressure from a stronger dollar.
The Supreme Court recently grilled the Trump administration over its use of an emergency act to pass its tariff agenda. This could be deemed unconstitutional. On Monday evening, Trump warned that overturning his tariffs could cost the government more than $2 trillion in paying back the duties.
I find that such a situation could lead to some easing of Trump’s policies on trade, allowing him to adopt a more moderate stance when dealing with major trading partners to avoid a grim economic scenario.
I find that if the gold futures repeat the same sliding pattern from Wednesday to Friday, and could test the lows at $3888.59, where the 50 DMA (3916.73) could provide some reversal to the futures.
Technical Levels to Watch
In a weekly chart, after finding a strong reversal from the lows at $3901 during the last two weeks, gold futures are feeling a surge in bearish pressure that could push the futures back to the pavilion shortly this week, as the shifting money flow from gold to other risky assets could turn the situation in favor of the gold bears.
Inversely, if the gold futures find a sustainable move above the immediate resistance at $4154.82 due to some bullish news favoring the bullish momentum, then only a reversal can be expected.
In a daily, after testing the day’s high at $4154.82, gold futures look ready to pull-down sharply on Wednesday as the selling pressure remains too high at this level as the traders have already seen a steep slide on Oct. 24, 2025 while the gold futures found a steep slide after facing stiff resistance at $4155.46 that pushed the futures to test the lows at $3891 on October 28, 2025 – a fall of 6.35% in next three trading session.
Disclaimer: Readers are advised to take any position in gold at their own risk, as this analysis is based only on observations.