Gold Price Halts Decline from Record High Ahead of Trump Tariffs
The recent weakness in the price of gold may turn out to be temporary as it halts the decline from the record high ($3058).
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Gold Price Outlook: XAU/USD
The price of gold may consolidate over the remainder of the month as it’s little changed from the start of the week, but bullion may continue to track the positive slope in the 50-Day SMA ($2882) as it still holds above the moving average.
Gold Price Halts Decline from Record High Ahead of Trump Tariffs
The recent weakness in the price of gold may turn out to be temporary as it halts the decline from the record high ($3058), and the precious metal may continue to benefit from the shift in US trade policy as President Donald Trump plans to impose reciprocal tariffs on April 2.
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With that said, fears of a trade war may keep the price of gold afloat as it offers an alternative to fiat-currencies, but the precious metal may continue to give back the advance from the start of the month if it fails to defend the weekly low ($3003).
XAU/USD Price Chart – Daily
Chart Prepared by David Song, Senior Strategist; XAU/USD on TradingView
- The price of gold seems to be defending the $3000 (161.8% Fibonacci extension) $3020 (38.2% Fibonacci extension) region as it retraces the decline from the start of the week, with a break/close above the $3050 (100% Fibonacci extension) to $3070 (50% Fibonacci extension) zone opening up $3120 (61.8% Fibonacci extension).
- Next area of interest comes in around $3160 (161.8% Fibonacci extension) to $3190 (78.6% Fibonacci extension), but the price of gold may face a further decline if it struggles to retrace the decline from monthly high ($3058).
- A close below the $3000 (161.8% Fibonacci extension) $3020 (38.2% Fibonacci extension) region may push the price of gold towards the $2940 (78.6% Fibonacci extension) to $2960 (23.6% Fibonacci extension) zone, with the next area of interest coming in around the monthly low ($2858).
Additional Market Outlooks
British Pound Forecast: GBP/USD Coils with UK CPI on Tap
AUD/USD Halts Four-Day Selloff Ahead of Australia CPI
Canadian Dollar Forecast: USD/CAD Breakout Looms on Trump Tariffs
EUR/USD Post-Fed Weakness Pulls RSI Back from Overbought Zone
--- Written by David Song, Senior Strategist
Follow on X at @DavidJSong
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