In early Asian trading on Friday (August 29), spot gold prices fluctuated narrowly, currently trading around $3,415.37 per ounce. On Thursday (August 28), spot gold prices surged above the psychologically important $3,400 mark, reaching a high of $3,423.02 per ounce, a five-week high since July 23. This surge in gold prices was driven by a combination of factors, including a weakening dollar, concerns about the Federal Reserve's independence, and an influx of safe-haven funds.

Friday's release of personal consumption expenditures (PCE) data is considered the Federal Reserve's most important inflation indicator, and its performance is likely to determine the final direction of the September monetary policy meeting. Meanwhile, the decline in initial jobless claims and the rebound in corporate profits in the second quarter suggest that the US economy remains resilient. This complex economic backdrop further highlights gold's safe-haven properties—regardless of the economic trajectory, gold seems to find reasons to rise.

Looking at the daily spot gold chart, influenced by numerous positive factors, gold prices have maintained a steady upward trend this week. While the upward trend hasn't fully opened up, initial signs of bullish dominance are emerging. The short-term moving averages are currently forming a bullish alignment, but the MACD indicator hasn't yet formed a golden cross, so we may need to wait for the release of more important economic data, such as tonight's PCE and next week's non-farm payroll figures.

Looking at the 4-hour spot gold chart, following the sharp rise at the beginning of the week, gold prices have successfully continued their upward trend, having previously broken through the 3,400 level, demonstrating market confidence in bullish sentiment. The current bullish alignment of the moving averages provides strong support, and the MACD indicator is also in a golden cross. However, caution is advised regarding the possibility of a correction. If the price can maintain above the 3,400 level, a buy-on-dip strategy is recommended. Resistance: 3420-3430-3440; Support: 3405-3398-3390.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.