On Friday (January 2nd), the first trading day of 2026, spot gold fluctuated slightly higher in early Asian trading, currently trading around $4044, up about 0.6%; spot silver is currently up 1.6% to around $72.64 per ounce. Gold's cumulative increase for the year is about 64%, which is not only the strongest performance in recent years, but also the largest annual increase since 1979, setting a new 46-year record. This surge has propelled gold from its relatively low point at the beginning of the year, repeatedly breaking historical highs and attracting the attention of global investors.

Although gold prices have retreated at the end of the year, this is more of a short-term technical adjustment than a trend reversal. The Chicago Mercantile Exchange (CME) repeatedly raised margin requirements for precious metal futures in a short period of time, triggering large-scale profit-taking by traders, causing prices to fall rapidly from recent highs. Looking ahead to 2026, most analysts are optimistic. Gold prices are expected to continue climbing in 2026, potentially reaching $5,000/ounce.

Looking at the daily chart for spot gold, after last week's pullback from its highs, the price continued its downward trend this week. This is mainly due to cautious trading during Western holidays. The current candlestick pattern shows two bearish candles sandwiching a bullish one, which is not particularly favorable for the bulls in the short term. The moving averages are showing a local turning downwards, and the $4400 level will be a crucial watershed. The MACD indicator is also in a death cross state, suggesting a possible correction in the near future.

Looking at the 4-hour chart for spot gold, yesterday's price action saw another pullback, although the magnitude wasn't particularly dramatic. However, if the important support level of $4300 is breached, it could open up further downside potential. The short-term moving averages are starting to turn downwards, indicating a potential decrease in resistance. The MACD indicator has also moved below the zero line. Therefore, until a clearer trend emerges, it is recommended to adjust trading strategy to focus on buying low and selling high. Resistance: 4382-4390-4400 Support: 4370-4360-4350.

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.