• Gold eases from $4,967 record highs but remains above previous highs at $4,888.
• Downside attempts on Gold remain limited amid broad US Dollar weakness.
• XAU/USD technical indicators remain consistent with a firm upside bias.

Gold’s (XAU/USD) is trading at $4,915 at the time of writing, practically flat on the daily chart following a 4-day rally that brought price action to a fresh all-time high of $4,967. The precious metal, however, maintains its broad bullish tone intact, on track for a 6.5% weekly gain.

Precious metals remain underpinned by a weak US Dollar, as the deterioration of the US-EU relationship amid the Greenland feud has eroded the US's image as a global leader, triggering a "Sell America" trade. Trump eased the tone toward Europe at the Davos Forum and touted an agreement with NATO on the Arctic Island, but restoring the confidence of the US's main trade partner will be difficult. 

Technical analysis: Gold stands comfortably above previous highs

XAU/USD has pulled back from its highs but remains above previous highs, at the $4,880 area. Technical indicators are turning lower, yet still at levels consistent with bullish momentum, with the 100-period Simple Moving Average (SMA) rising steadily, with price holding well above it.

The Moving Average Convergence Divergence (MACD) histogram in the 4-hour chart remains positive despite a moderate contraction. The Relative Strength Index (RSI) eases, pulling back from overbought levels, all in all pointing to a healthy correction following the recent sharp rally.

Bulls have been halted at the 127.2% Fiboonacci expansion of the January 16-21 rally, at the $4,970 area, ahead of the $5,000 psychological level, which is likely to challenge the strength of the current rally. On the downside, immediate support is the previous record high, at $4,888, ahead of the January 21 low of $4,775.

(The technical analysis of this story was written with the help of an AI tool.)