Spot gold prices fluctuated narrowly in early Asian trading on Wednesday (August 27), currently trading around $3,390.85 per ounce. On Tuesday (August 26), US President Trump abruptly announced the dismissal of Federal Reserve Governor Tim Cook, citing "improper conduct" in mortgage applications. This move not only directly challenged the Fed's independence but also instantly ignited risk aversion in the market. Gold prices surged to their highest point in more than two weeks, with spot gold rising 0.83% to close at $3,393.43 per ounce, its highest closing price in nearly two weeks.

In the short term, whether gold can continue its upward trend depends on three catalysts: first, whether the Federal Reserve cuts interest rates as planned in September; second, whether this week's GDP and PCE data confirm an economic slowdown; and third, whether the dispute between Trump and the Fed escalates into a legal battle or political crisis. If the upcoming GDP and PCE data confirm economic weakness, the probability of a rate cut will further increase. Gold prices are expected to continue their upward trend, supported by both safe-haven demand and dovish policies. Furthermore, global political instability, such as the French government crisis, could also impact gold prices through the bond market.

From the daily spot gold chart, recent gold price trends have undoubtedly remained volatile. Even after Fed Chairman Powell's dovish signals, there hasn't been much room for improvement. However, at least the candlestick chart has returned above the short-term moving averages. Given that the market awaits the release of more important data, it's possible that this week's range will remain limited. For now, focus will be on the 3320-3380 range.

From the 4-hour spot gold chart, the probability of a September rate cut has significantly increased following the global central bank annual meeting, contributing to a surge in gold prices at the start of this week. However, further upward momentum requires continued support above 3380 or even 3400. Currently, the short-term moving averages have turned upward, indicating a bullish trend, and the MACD indicator has successfully broken through the 0-axis. Therefore, the strategy should focus on buying on dips. Pressure: 3390-3400-3410 Support: 3375-3360-3350.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.