Gold prepares for 3,700 USD, Fed may trigger new XAUUSD rally
Gold has tested the 3,600 USD level, with the possibility of growth towards 3,700 USD. Find more details in our analysis for 8 September 2025.
XAUUSD forecast: key trading points
- Gold has tested 3,600 USD
- A Federal Reserve rate cut could trigger further XAUUSD growth
- XAUUSD forecast for 8 September 2025: 3,650
Fundamental analysis
Today’s XAUUSD forecast shows that, after testing the 3,600 USD level, gold is holding firmly near its all-time high around 3,582 USD per ounce. Amid expectations for the Fed’s upcoming rate decision, the US dollar continues to lose ground. The dollar was further pressured by weak US employment data. Friday’s Nonfarm Payrolls report surprised markets, with job growth falling to just 22 thousand, compared to 14 thousand in July 2025.
The XAUUSD forecast for 8 September 2025 takes into account that markets are fully pricing in a 25-basis-point rate cut, and importantly, are even considering a 50-basis-point cut scenario, as US labour data turned out to be weaker than expected, with job growth slowing and the unemployment rate rising to 4.3%. This creates excellent conditions for gold to strengthen further as a safe-haven asset.
Market sentiment remains optimistic for gold, with demand continuously rising amid instability in other asset classes. If the Fed cuts rates, gold has every chance to extend its upward momentum: breaking above 3,600 USD, prices could head towards the next psychological level of 3,700 USD.
XAUUSD technical analysis
On the H4 chart, XAUUSD prices have formed a Hanging Man reversal pattern near the upper Bollinger Band. At this stage, quotes are shaping a corrective wave following the signal from the pattern. Given that XAUUSD quotes remain within an ascending channel, the broader outlook still suggests continuation of the bullish trend. The current correction target could be the 3,550 USD mark.
At the same time, today’s XAUUSD technical analysis also suggests an alternative scenario, where prices rally directly towards 3,650 USD without testing the support level.
The potential for further upward momentum remains intact, with XAUUSD likely to head towards the 3,700 USD level in the near term.
Summary
Gold continues to strengthen amid expectations of a Federal Reserve rate cut. Today’s XAUUSD technical analysis suggests growth towards 3,650 USD after the correction is complete.