The spot gold market is really fierce this time. On the morning of December 23, the gold price surged to $4485/ounce, reaching a new high, just a little short of the round number of 4500. There are many driving forces behind this rise — changes in the U.S. political landscape coupled with expectations of Fed rate cuts, and on December 22, London gold saw a big pump of over 2% in one day, once again breaking through the historical peak.

Ultimately, the global geopolitical situation is tense, and economic uncertainty is rising, making gold particularly attractive as a safe-haven asset. Funds are seeking a safe harbor, and central banks are also stockpiling gold in large quantities. In a low-interest-rate environment, the opportunity cost of holding gold is lower. This year, gold prices have already risen by more than 70%, marking the largest annual increase since 1979, which speaks volumes about the strong demand for safe-haven assets in the market.

**How to view the technical aspects?**

The bullish momentum on the daily chart is not surprising, with a large bullish candle breaking through new highs on high volume. The short-term moving averages MA7 and MA10 have formed a golden cross, ranging between 4360 and 4335, and the price is firmly above the upper Bollinger Band. The RSI indicator has surged to 80, which is indeed a bit hot, but there is currently no obvious top pattern, and reversal signals have not yet appeared.

Looking at shorter time frames, on the 4-hour and 1-hour charts, although the RSI has entered the overbought zone, the price still breaks through the upper Bollinger Band, and the moving average system maintains a golden cross and diverges upwards. The bullish momentum is actually quite strong. Be cautious when chasing the rise at this position, as it is already a historical high, and the risk of a short-term pullback is present.

**How to operate?**

The key focus for today is to see if there is real support near the low point of 4430 from last night's US session. If it holds, this position can be considered for a long position: enter in the range of 4440-4445, set a stop loss at 4415, and look upwards to 4500 and then continue to 4530 after a breakout.

Conversely, if you want to short, you can wait for an opportunity in the 4525-4530 range, placing a stop loss at 4550, with a target below looking at the 4450-4420 range. However, the current atmosphere is still dominated by bulls, and aggressively chasing longs carries considerable risk; it is still recommended to layout more conservatively using support levels.