Technical analysis by Lingrid about Symbol PAXG: Buy recommendation (8/31/2025)

The price perfectly fulfilled my previous weekly outlook . XAUUSD surged to $3,447 this week, successfully breaking through critical resistance zones that had capped prices since April. The breakout above the $3,420 level represents a significant technical milestone, with the metal now eyeing the all-time high of $3,500. The DXY 2.19% weekly decline provided crucial tailwinds, despite posting its strongest monthly gain (+4.78%) since April. Chart reveals gold has completed a classic triangle consolidation pattern and is now trading within an upward channel. The recent price action shows a decisive break above the descending resistance trendline, with strong ETF inflows supporting the rally alongside growing expectations of Federal Reserve rate cuts. The monthly timeframe confirms the long-term bullish trajectory remains intact, with the market demonstrating remarkable resilience after testing lower support levels earlier in the cycle. The technical picture shows gold emerging from a prolonged consolidation phase, with the upward channel providing a clear roadmap for future price movement. Price action suggest institutional accumulation continues, while the break above the triangle formation indicates potential for sustained momentum. Market sentiment has shifted decidedly bullish following the resistance breakthrough. Key support now sits at the former resistance zone around $3,400 - 3,420 zone, while the immediate target remains the psychological $3,500 level. The combination of technical breakout momentum, weakening dollar dynamics, and institutional accumulation suggests gold's uptrend has room to extend further into September. If this idea resonates with you or you have your own opinion, traders, hit the comments. I’m excited to read your thoughts!