Gold Price Forecast: Bullish Breakout Targets $3,500 and Beyond

Gold (XAU/USD) remains in a bullish trend despite a temporary pullback, with strong technical indicators suggesting further upside toward the $3,491–$3,500 resistance zone.

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Gold Price Holds Strong After Pullback to Key Support

Gold prices experienced a minor dip on Tuesday, retreating from an intraday high of $3,392 to a low of $3,333. However, the drop found firm support at a crucial trendline—previously acting as dynamic resistance—and the 38.2% Fibonacci retracement level of the recent upswing. This confluence zone reinforces gold’s bullish setup.

Despite the session closing slightly lower, the price action remains constructive. Gold continues to trade in the upper range of Monday’s candle, above the breakout level, indicating the bullish momentum is intact.

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Confirmed Breakout Above $3,366 Signals Bullish Continuation

On Monday, gold broke above a key swing high at $3,366, confirming the breakout with a daily close above that level. This move strengthens the long-term bullish structure. A weekly close above $3,366 would further validate the breakout and could drive fresh upside interest.

It’s worth noting that gold’s highest weekly closing price to date was $3,357, recorded just two weeks ago. Surpassing this level would mark a significant milestone in the ongoing rally.

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ABCD Pattern Indicates Upside Target Near $3,491–$3,500

With the breakout now confirmed, gold is on track to complete a rising ABCD harmonic pattern, with an immediate target around $3,491. This level aligns closely with the all-time high of $3,500 from April 2025, making it a critical resistance zone to watch.

Before reaching that level, however, gold must overcome minor resistance at $3,439, a former swing high and key technical hurdle.

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Higher Potential Targets if $3,500 Breaks

A decisive breakout above $3,500 would unlock additional upside targets, including:

• $3,603
• $3,642
• $3,663

These levels are derived from extended Fibonacci and price projection models, with $3,663 marked by overlapping patterns, giving it added importance.

In the long term, gold could even aim for $3,790 and $3,893, based on bullish extension levels since the April swing low.

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Gold Market Outlook – What to Watch

• Support Levels: $3,333 (Fibonacci + trendline), $3,366 (breakout confirmation)
• Resistance Levels: $3,439 (swing high), $3,491–$3,500 (key breakout zone)
• Bullish Scenario: Sustained close above $3,500 could extend rally toward $3,600+
• Bearish Scenario: Failure to hold $3,366 may trigger a retest of lower support near $3,300

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Conclusion:
Gold’s technical setup continues to favor bulls, with momentum supported by a confirmed breakout and a rising price pattern. As long as gold holds above key support, the path toward $3,500 and higher remains in play.

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