Gold price trades near its highest level since May on the back of geopolitical risks

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• Gold price consolidates its recent strong gains and manages to hold above the $2,000 mark.
• Geopolitical tensions in the Middle East continue to lend support to the safe-haven metal.
• A slightly overbought RSI warrants caution for bulls ahead of this week’s key event/data risks.

Gold price (XAU/USD) advanced beyond the $2,000 psychological mark on Friday, hitting its highest level since May 16 and registering a third straight weekly gain. An escalation in the Israel-Hamas conflict continues to fuel safe-haven buying and acts as a tailwind for the precious metal. Traders, however, refrain from placing fresh bullish bets and prefer to wait on the sidelines ahead of this week’s key central bank event risks. The Bank of Japan (BoJ) is scheduled to announce its policy decision on Tuesday, which will be followed by the crucial monetary policy update by the Federal Reserve (Fed) on Wednesday and the Bank of England (BoE) meeting on Thursday.