Today’s Gold Analysis Overview:
- General Trend: Upward.
- Support for gold: $3,100-$3,085.
- Resistance for gold: $3,170-$3,220.
- Gold Trading signals: Sell in anticipation of profit-taking, but don’t take risks.
Gold Price Technical Analysis and Expectations Today:
According to gold trading company platforms, the XAU/USD gold price rose to $3,167 per ounce, reaching a new record high, amid increased risk aversion following President Trump’s announcement of tariffs. Trump set a base tariff of 10% on imports from all countries, with higher rates for countries with trade surpluses, including China (34%), the European Union (20%), and Japan (24%), and a 25% tariff on foreign-made cars.
He showed a chart comparing the tariffs imposed by these countries on US imports, with the reciprocal tariffs taking effect. Furthermore, Trump claimed that these measures would boost domestic manufacturing and reduce the trade deficit.
The gold bullion market was also supported by expectations of lower interest rates, global central bank buying, and strong demand for gold-backed exchange-traded funds (ETFs), with Chinese ETFs adding 233,000 ounces. Weak US jobs data and a disappointing manufacturing report shifted investors’ focus to Friday’s non-farm payrolls data for further insight into the Federal Reserve’s policy outlook.
US Dollar Index (DXY) to 6-Month Low
According to Forex market trading, the US Dollar Index (DXY), which measures the US currency’s performance against a basket of other major currencies, fell below 103 on Thursday, hitting its lowest level in nearly six months, as traders absorbed President Donald Trump’s comprehensive tariff measures. Late Wednesday, Trump announced a comprehensive tariff package aimed at reshaping US trade relations.
These measures include a 10% base tariff on all imports, with higher rates for major trading partners, such as China (34%), the European Union (20%), and Japan (24%). Additionally, a 25% tariff on all foreign-made autos took immediate effect.
Meanwhile, new economic data painted a mixed picture. The ADP report showed a larger-than-expected increase in US private sector jobs, adding 155,000 jobs for March, exceeding expectations. However, the JOLTS report revealed that job openings fell to 7.57 million, indicating a potential slowdown in the labor market. Investors are now focused on Friday’s US non-farm payroll report, which could provide further insights into the Federal Reserve’s next policy move.
Trading Tips:
We still recommend buying gold at every downward trend, but without risk, regardless of the strength of the trading opportunities.
Gold Price Forecasts for the Coming Period
Expectations for the immediate performance of gold prices remain bullish as long as prices remain stable above the historical psychological resistance of $3,000 per ounce. As we mentioned before, gold investors will not be concerned with the movement of technical indicators toward strong overbought levels as much as they will be concerned with the continued gains in gold, which are listed in the analysis. Technically, A break of the resistance level of $3,200 per ounce is possible if market tensions persist and the US dollar continues to decline.
Key Technical Levels for Gold Today
- Key support levels for gold prices: $3,110, $3,088, and $3,070 per ounce.
- Key resistance levels for gold prices: $3,145, $3,165, and $3,200 per ounce.
Frequently Asked Questions About Today’s Gold Analysis
Is the price of gold poised to break the $3,200 peak?
The continuation of gold market gain factors may ensure breaking the $3,200 peak and beyond.
Will gold prices decline in the coming days?
Profit-taking may occur at any time, especially after successive record upward breaks in gold prices. Moreover, a bearish turn is unlikely to occur anytime soon.
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