Fuelled amid softer-than-expected US economic data—ADP non-farm employment change and JOLTs—and hopes of the Fed cutting rates in the summer, spot gold (XAU/USD) is on track to wrap up a sixth day in positive territory after refreshing all-time highs at $2,150.

It has been quite the run for the precious metal, but with price now trading in unchartered terrain, where could we go from here?

Retest of Daily Support?

On the daily chart, it will not come as much of a surprise that we are technically overbought in this market; according to the Relative Strength Index (RSI), the oscillator is touching highs just ahead of indicator resistance at 81.47 (a level extended from as far back as early 2022).

Any meaningful correction on the daily chart could see prices pull back as far south as the high formed in late 2023 at $2,088, closely shadowed by weekly support coming in from $2,075.

Short-Term Chart Showing Limited Support Nearby

While local support at $2,141 on the 15-minute chart could welcome short-term bids and prompt a move further into unchartered territory towards channel resistance (extended from the high of $2,141), a break of current support paves the way for a drop to channel support, taken from the low of $2,112.

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