Wall Street willing to trust gold again after a week of resilient price action, Main Street flips positive with payrolls on deck

Gold staged a strong recovery this week after an initial sharp selloff, demonstrating resilience by repeatedly testing and holding key support levels above $4,400/oz. Spot gold started the week at $4,507, dropped to a low near $4,130 early Monday, then rebounded to close near $4,500/oz by Friday, including a weekly high above $4,600. The price action reasserted a bullish technical posture, with many market participants signaling renewed confidence. According to the latest Kitco News Weekly Gold Survey, 50% of Wall Street analysts have adopted a bullish stance, while Main Street investors have resumed a mild bullish bias following the metal's firm weekly gains. Industry experts including James Stanley (Forex.com) and Rich Checkan (Asset Strategies) highlighted a bottoming correction and a potential technical hammer forming on the weekly chart, suggesting further upside. Expectations are for continued volatility with an upward bias amid macroeconomic uncertainty, including inflation-fighting central bank policies and geopolitical risks such as the Iran conflict. The recovery underscores gold’s sensitivity to technical levels and geopolitical developments, with the metal closely linked to U.S. dollar moves and oil prices. Key near-term support remains near $4,400/oz, while resistance is eyed near $4,600/oz. Potential catalysts include weekend geopolitical announcements and upcoming payroll data, which could test gold’s ability to maintain momentum or trigger another corrective phase. Traders should monitor these alongside positioning flows and technical patterns for indications of sustained bullishness or renewed weakness.