I noticed a very strong rise in gold prices over the past few weeks, especially after the geopolitical developments in the Middle East. The price broke important psychological levels, reaching over $5,400 per ounce, reflecting a strong search for safe assets during times of tension.

The supporting factors are clear: regional escalation pushes investors toward gold, and at the same time, American economic data (especially producer price indices) indicate ongoing inflation pressures. This means the Federal Reserve may keep interest rates high for a longer period. But there is a counteracting factor: the strength of the US dollar limits gold gains for foreign buyers.

From a technical perspective, gold has been moving within a clear upward channel since February. The Relative Strength Index is near 72 (overbought), but in strong trends, this is not an immediate reversal signal. Important levels to watch: 5,500 as the first resistance, and 5,200 as a critical support.

For beginners considering investing, gold remains a reasonable option as the best investment for beginners during times of uncertainty, especially through gold exchange-traded funds (ETFs), which provide a safe and easy way instead of holding physical metal.

The coming days will be decisive. If geopolitical tensions and weak economic data persist, we may see prices test 5,500 then 5,650. But any improvement in the US economy or a reduction in tensions could limit the upward movement. The strong dollar remains the overlooked factor that could surprise everyone.