Gold experienced a historic rally in 2025, climbing 67%. This marks one of its strongest annual performances in decades, the best since 1979. The gold price continued higher during December, reaching a new high of around $4,545 before settling at $4,510 as of Friday.

The RSI momentum indicator became very overbought on the price spike toward $4,550. It has since cooled toward 50 and is currently at 65. A reading around 50 for the RSI has acted as support throughout 2025, suggesting the pullback to support around $4,300 is likely to hold.

Takeaway: 2025 was a historic year for gold, but there are no signs of this rally ending. With global liquidity rising to record levels, rates falling, increasing geopolitical uncertainty, and central banks buying at record levels, I expect gold to continue making new highs in 2026. I am targeting a gold price of $5,500 during 2026, a gain of at least 22%. This would be a reduction from the gain in 2025, but still a healthy continuation of the bull cycle for gold.