Gold futures are trading at $3,343.8, with the tradeCompass indicating a bullish zone for potential long trades. The trade remains upward unless prices fall below the bearish threshold of $3,335.5. The bullish targets range from $3,349.6 to an optional swing of $3,407, while bearish targets are between $3,329.1 and $3,326.4. <\/p>\n
Today’s market context maintains a bullish stance above $3,342, with buyers in control. Gold has shown a 34.29% increase over the past year, although a 0.70% dip occurred in the past week. The long-term trend remains positive, supported by growth in gold demand. Demand rose by 3% in Q2 2025 to 1,249 tonnes, led by a 78% growth in investment demand. <\/p>\n
The VWAP and Point of Control offer vital insights into market consensus and areas for potential trend changes. TradeCompass recommendations focus on disciplined trade management, including stop-loss adjustments and single trade entries per direction. Recent market events, like increased demand in Asia and changing central bank interactions, influence gold’s longer-term narrative, suggesting a complex demand dynamic.<\/p>\n
Based on the current setup, we see a clear bullish bias as long as gold futures hold above the $3,342 level. Traders should be looking for long entries, with an initial profit target at $3,349.6. A move towards the key psychological level of $3,400 in the coming weeks seems plausible if this momentum holds.<\/p>\n
However, we must remain disciplined, as a sustained break below $3,335.5 would invalidate the bullish view. If that level fails, a short trade towards $3,329.1 becomes the primary strategy. This swift change in bias is critical for managing risk in a market that has shown some minor, short-term cooling this past week.<\/p>\n
The broader market trend strongly supports an upward trajectory, with gold having gained over 26% since the start of 2025. This powerful bull run has been fueled by a significant shift in monetary policy. We have seen the Federal Reserve initiate two rate cuts so far this year, which historically weakens the dollar and boosts gold prices.<\/p>\n
Adding to this bullish sentiment, the latest inflation data for July 2025 showed the Consumer Price Index (CPI) holding stubbornly at 3.1%, keeping real yields low. This makes non-yielding gold a more attractive asset for investors seeking to preserve wealth. These persistent inflationary pressures suggest that demand for gold as a hedge will continue.<\/p>\n
We also note the World Gold Council’s report on Q2 2025 demand, which showed a 78% surge in investment buying. While central bank purchases slowed from the record pace we saw in 2024, they still added 166 tonnes, providing a solid floor for the market. This tells us that while one major driver has eased slightly, another has accelerated to take its place.<\/p>\n
For derivative traders, this environment is well-suited for buying call options with strike prices at or above the $3,400 swing target. Given the strong underlying trend, selling out-of-the-money put options with strikes below the bearish threshold of $3,335.5 could also be a viable strategy to collect premium. This approach allows us to capitalize on the bullish bias while defining our risk.<\/p>\n
Looking ahead, we should use any dips towards the $3,342 support level as potential opportunities to add to long positions. The primary risks to this view would be an unexpected hawkish shift from the Federal Reserve or a sudden resolution of global geopolitical tensions. Therefore, we will continue to monitor Fed communications and macroeconomic data closely.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" Gold trades bullish above $3,342; long-term trend supported by growing demand and investment-driven momentum.<\/p>\n","protected":false},"author":62,"featured_media":16975,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-27903","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/27903","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=27903"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/27903\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/16975"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=27903"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=27903"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=27903"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}