GOLD buyers retain control as tariff uncertainty looms
Gold price looks to build on last week’s rebound from six-day lows, retakes $3,350.
The US Dollar holds steady amid a slightly upbeat mood, but tariff angst lingers.
Gold price stays above key daily moving averages as the RSI holds above the midline.
Gold price is extending the turnaround from six-day lows of $3,310 early Monday, making another attempt above the $3,350 barrier.Gold buyers keep the upper hand as the USD pauses its late rebound on Friday, entering a consolidative mode, with attention turning to Tuesday’s speech by US Fed Chairman Jerome Powell for further trading impetus.
Monday’s data-docket is a quiet one, and hence, tariff-related developments will continue to dominate the sentiment around the USD-denominated Gold price.Traders remain expectant of encouraging earnings reports from American tech giants, including Alphabet Inc., due later this week.
Despite a mild optimism, investors remain wary about US President Trump’s tariff plans against the EU as the August 1 deadline approaches.
Lingering tariff tensions bode well for the traditional safe-haven Gold price as markets digest the Japanese political drama.The Japanese ruling coalition, the Liberal Democratic Party (LDP) and its ally Komeito, lost control of the upper house in an election on Sunday, further weakening Prime Minister Shigeru Ishiba’s hold as a tariff deadline looms, Reuters reports.
The Japanese Yen (JPY) experienced ‘buy the fact’ trades on the expected election outcome, dragging USD/JPY lower. The renewed USD/JPY weakness capped the USD’s recovery, helping Gold price build on the previous upswing.
Furthermore, the ongoing criticism of Fed Chair Powell by Trump also prompts traders to temporarily forgo the USD in search of safety in t
Daily technical analysis
As observed on the daily chart, Gold price is holding comfortably above all major SMA while the 14-day RSI points higher above the midline.
The technical setup, therefore, appears in favor of Gold buyers, with the immediate resistance located at the 23.6% Fibo level of the April record rally at $3377.
Further north, the $3,400 round level will challenge bearish commitments, with more upside opening toward the static resistance at around $3,440.
Alternatively, strong support is aligned at around $3,330, the confluence of the 21-day SMA and the 50-day SMA.
Sellers must find a strong foothold below that demand area to test the 38.2% Fibo level of the same rally at $3,297 before targeting the July low of $3,283.
GOLD buyers retain control as tariff uncertainty looms
Gold price is extending the turnaround from six-day lows of $3,310 early Monday, making another attempt above the $3,350 barrier.Gold buyers keep the upper hand as the USD pauses its late rebound on Friday, entering a consolidative mode, with attention turning to Tuesday’s speech by US Fed Chairman Jerome Powell for further trading impetus.
Monday’s data-docket is a quiet one, and hence, tariff-related developments will continue to dominate the sentiment around the USD-denominated Gold price.Traders remain expectant of encouraging earnings reports from American tech giants, including Alphabet Inc., due later this week.
Despite a mild optimism, investors remain wary about US President Trump’s tariff plans against the EU as the August 1 deadline approaches.
Lingering tariff tensions bode well for the traditional safe-haven Gold price as markets digest the Japanese political drama.The Japanese ruling coalition, the Liberal Democratic Party (LDP) and its ally Komeito, lost control of the upper house in an election on Sunday, further weakening Prime Minister Shigeru Ishiba’s hold as a tariff deadline looms, Reuters reports.
The Japanese Yen (JPY) experienced ‘buy the fact’ trades on the expected election outcome, dragging USD/JPY lower. The renewed USD/JPY weakness capped the USD’s recovery, helping Gold price build on the previous upswing.
Furthermore, the ongoing criticism of Fed Chair Powell by Trump also prompts traders to temporarily forgo the USD in search of safety in t
Daily technical analysis
As observed on the daily chart, Gold price is holding comfortably above all major SMA while the 14-day RSI points higher above the midline.
The technical setup, therefore, appears in favor of Gold buyers, with the immediate resistance located at the 23.6% Fibo level of the April record rally at $3377.
Further north, the $3,400 round level will challenge bearish commitments, with more upside opening toward the static resistance at around $3,440.
Alternatively, strong support is aligned at around $3,330, the confluence of the 21-day SMA and the 50-day SMA.
Sellers must find a strong foothold below that demand area to test the 38.2% Fibo level of the same rally at $3,297 before targeting the July low of $3,283.
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