On Tuesday (December 2nd) in early Asian trading, spot gold traded in a narrow range, currently at $4232.25 per ounce. Yesterday, spot gold prices touched a six-week high, climbing to $4264 per ounce at one point. This stemmed from weak signals in US economic data and dovish statements from Federal Reserve officials. For example, comments from Fed Governor Waller and New York Fed President Williams further strengthened market expectations for easing policies. The rising expectations of interest rate cuts boosted gold prices.

Weak US economic data was the direct catalyst for this gold price increase. The November Manufacturing Purchasing Managers' Index (PMI), released on Monday, fell to 48.2 from 48.7 in October, marking the ninth consecutive month below the 50-point threshold separating expansion from contraction, indicating continued contraction in the manufacturing sector. Manufacturing accounts for 10.1% of the US economy, and it faces a sharp decline in orders, rising input prices, and the drag from import tariffs, all of which have contributed to the overall economic downturn.

Looking at the daily chart for spot gold, yesterday's price action saw significant volatility, resulting in a doji candlestick pattern. Although gold prices have rebounded recently, and the MACD indicator remains in a golden cross, prices are still facing resistance from previous highs. The rebound has slowed somewhat, and attention should be paid to the support level of the 5-period moving average (MA5).

Looking at the 4-hour chart for spot gold, prices have rebounded since forming a double bottom pattern, reaching a high of around 4264. However, this level presents significant resistance, and the MACD indicator has formed a death cross, suggesting a short-term correction. Intraday, watch for resistance at the MA5 and support at the psychological level of 4200. Resistance: 4220-4230-4240 Support: 4210-4200-4190

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.