March 12, 2026 Spot Gold Midday Analysis

Early trading saw spot gold opening slightly lower and then oscillating weaker, moving back and forth within the 5130–5170 range. There was no clear trend, with both bulls and bears being cautious. The rally in the morning lacked momentum, profit-taking at higher levels caused a slight pullback, which is a normal correction and not a sign of a major decline.

Firstly, US CPI data just released shows inflation remains firm, leading the market to believe that the Federal Reserve will delay interest rate cuts. The dollar and US Treasury yields are relatively strong, putting pressure on gold prices. Secondly, the Middle East situation still carries uncertainties, with safe-haven funds supporting prices at lower levels, preventing a deep decline in gold. Tonight, US PPI data may introduce some volatility, but during the day, expect technical consolidation.

Below, the 5130–5100 zone is a strong support; a break below this could lead to further correction. Above, the 5180–5200 zone acts as resistance; only a breakout above this can lead to continued strength. Currently, moving averages are flat, and indicators are neutral, indicating a balance between bulls and bears, resulting in range-bound oscillation at high levels.

In terms of trading strategy, avoid chasing highs or resisting positions. Continue with a pullback-based long approach, considering long positions near 5130 for stabilization. If prices rebound above 5180 and face resistance, consider reducing positions gradually. Focus on trading within the range and wait for new data to determine the next direction.

This is only a personal suggestion for reference and does not constitute investment advice. Please follow Cheng Jingsheng's layout for specific guidance! $XAU ‌#XAU