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).
Share this:
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.
Join David Song for the Weekly Fundamental Market Outlook webinar.
David provides a market overview and takes questions in real-time. Register Here
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
Related tags:
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
Gold Breaks Down on Descending Triangle, Sets Up $4k Test
Gold started last week with a strong sell-off but from that move a bounce developed. Bulls could not hold on through the weekly close, however, and the bearish structure remains in-place for XAU/USD.
Gold Update: XAU/USD Remains Under Pressure Even After the NFP Report
As the trading week comes to an end, weakness around gold price action remains evident in the short term. This can be seen in the performance of the past two sessions, where the metal has declined by approximately 0.3%. Although the move has not been particularly aggressive, it highlights that buying pressure continues to struggle to regain control of the market.
USD/CAD forecast: rally could accelerate above June highs at 1.4250
USD/CAD recovered quickly after weaker US jobs data, keeping the bullish trend in focus. A move above the June highs could accelerate the rally as inflation keeps the Fed under pressure.
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.