Gold markets extended their powerful rally on Monday, continuing to trade near record highs despite thinner volumes due to the Martin Luther King Jr. Day public holiday in the United States. While liquidity was reduced, market behaviour suggests the rally remains firmly intact, with buyers continuing to dominate price action.
Importantly, Friday’s session highlighted gold’s underlying strength, as the market showed little willingness to sustain any meaningful pullback. Each dip has been met with aggressive buying, reinforcing the broader bullish trend that has defined gold trading in recent months.
Gold Eyes the $5,000 Milestone
Gold has once again printed a new all-time high, further supporting the view that the market is building momentum toward the psychologically significant $5,000 per ounce level. This target has been firmly on the radar for weeks and is increasingly within reach as the trend accelerates.
From a technical perspective, gold previously broke out of an ascending triangle formation before pulling back to successfully retest the breakout zone. Based on the measured move from that pattern alone, gold could reasonably target the $4,900 level. Once that area is reached, market psychology suggests there is little reason for prices to stall short of the $5,000 milestone, a level that is likely to attract global attention.
Pullbacks Viewed as Buying Opportunities
In the current market environment, pullbacks continue to be seen as buying opportunities, a strategy that has proven effective throughout this sustained rally. This behaviour reflects strong investor conviction and persistent demand across physical and investment markets.
From a technical support standpoint, the $4,600 level is emerging as a key short-term floor, while the $4,400 region remains an area of significant longer-term interest should deeper corrections occur.
While gold may encounter psychological resistance near $4,700, recent price action suggests this is more a temporary pause than a meaningful barrier. In fact, the market has already tested this level, and it has done little to disrupt the broader uptrend.
Bullish Trend Remains Intact
Although trading volumes were lighter due to the US holiday, nothing in the current price structure appears abnormal or concerning compared to recent sessions. The overall chart continues to reflect strong upward momentum, higher highs and resilient demand, all of which support a bullish outlook.
As long as gold continues to hold above key support levels, the path of least resistance remains higher, with the $5,000 per ounce target now firmly in focus for global markets.
