Gold price recovers 0.6% near record high ahead of NFP data
Gold trades at $2,863 in European session
Gold prices pulled back from their record high of $2,880 per ounce, ending a five-day bullish streak with a 1.7% dip to $2,835. However, the market saw a mild recovery, with prices ticking higher in the Asian session on Friday, February 7.
As the European session progresses, gold trades at $2,863—just 0.6% shy of its all-time peak and 1.25% below the recent dip.
A key factor influencing gold’s movement is the US dollar, which has strengthened slightly due to repositioning ahead of the upcoming Nonfarm Payrolls (NFP) report. Traders are watching the data closely, as it could influence Federal Reserve policy expectations and, in turn, gold prices.
Gold price dynamics (October 2024-February 2025). Source: TradingView.
Despite the dollar’s modest gains, broader market forces continue to support gold. Concerns over U.S.-China trade tensions and the economic impact of U.S. trade policies may drive demand for the safe-haven asset. Additionally, market bets on the Federal Reserve maintaining an easing bias, alongside subdued US Treasury yields, limit gold’s downside.
U.S. dollar strength weighs on gold ahead of NFP data
The Relative Strength Index (RSI) on the four-hour chart remains in bullish territory but is not yet overbought, leaving room for further gains. If buying pressure intensifies, gold may surpass its recent peak, reinforcing the overall uptrend.
With technical indicators suggesting further upside potential and fundamental drivers still in play, gold’s ability to reclaim and extend beyond $2,880 remains a key focus. If buyers push prices past this level, the next psychological resistance could emerge around $2,900. However, if momentum weakens, support at $2,835 will be critical in preventing a deeper pullback. As the market awaits fresh economic data, gold remains positioned with near-term direction hinging on upcoming US employment figures and broader risk sentiment.
Gold price have extended its bullish momentum to a new all-time high of $2,880 per ounce. Despite these gold prices face short-term resistance due to overbought conditions.
