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Gold hit $4,000. History shows it often gets tripped up at round numbers

By Advanced AI EditorOctober 7, 2025No Comments2 Mins Read
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Bank of America is urging caution after gold broke above $4,000 for the first time Tuesday. Gold futures touched an intraday record of $4,014.60 per ounce as of 11:31 a.m. ET, while spot gold hit an all-time high of $3,985.36. Gold prices have gained about 50% this year as investors seek a safe haven from geopolitical volatility, economic uncertainty, a weaker dollar and stubborn inflation. But BofA warned investors that gold may enter a “consolidation or correction” in the fourth quarter, as it faces “uptrend exhaustion.” Spot gold tends to pivot either higher or lower when it hits big round numbers, BofA technical strategist Paul Ciana told clients. “Since the 1970s, many big round number areas have served as support and/or resistance levels for the gold trend at hand,” Ciana wrote. XAU= YTD mountain Spot gold year to date Gold prices have doubled since the start of 2024, blowing past $3,000 per ounce without issue, he told clients. But spot gold looks like it could hit a peak around $4,000, he said. The precious metal hit peaks when it was trading 25% above its moving average in August 2020, August 2011, March 2008 and May 2006, Ciana wrote. Gold is trading 20% above it 200-day moving average right now which suggests its nearing a peak, he added. ( Learn the best 2026 strategies from inside the NYSE with Josh Brown and others at CNBC PRO Live. Tickets and info here . )



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