Gold Surges on Middle East Conflict: What's the Next Move?

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XAUUSD – Gold Surges on Middle East Conflict: What's the Next Move?
🌍 Geopolitical Shock Fuels Market Volatility
The gold market responded sharply after Israel launched a series of targeted airstrikes on Iran’s nuclear facilities, including the Natanz uranium site. These actions triggered global concern:

Gold jumped to $3,430/oz, hitting a new weekly high

WTI crude surged by over 8%

US equity indices dipped significantly

The US remains officially neutral but confirmed it will defend its troops if provoked

Investors are now moving rapidly into safe-haven assets, especially gold.

📊 Technical Breakdown (H1/M30)
Trend Structure: Bullish momentum continues following the breakout above $3,392

Key Support Zone: $3,412–$3,426, with price holding above this region

Fair Value Gap (FVG): Identified between $3,405–$3,412, could act as re-entry zone

EMA Alignment: Price is above the 13, 34, 89, and 200 EMAs — signalling strength across short and long-term moving averages

Psychological Resistance: Eyes now on the $3,454–$3,456 zone for potential selling pressure

🧠 Market Sentiment & Risk Behaviour
Risk-off mood dominates: Capital is rotating into gold, CHF, and JPY

Traders are reacting to news headlines over economic data

Institutional flows are entering strongly on dips, building positions in defensive assets

🎯 Trade Setup for 13th June
✅ Buy Zone: 3384 – 3382
Stop-Loss: 3378
Targets: 3388 – 3392 – 3396 – 3400 – 3405 – 3410

❌ Sell Zone: 3454 – 3456
Stop-Loss: 3460
Targets: 3450 – 3446 – 3442 – 3438 – 3434 – 3430

📌 Tactical Summary
Gold remains a go-to asset amid geopolitical uncertainty. While the technicals support further upside, caution is warranted near resistance. Any easing in military headlines could trigger a fast retracement.

🔍 Pro tip: Avoid chasing. Let price confirm near key levels before entering. Manage risk diligently in high-volatility environments.

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