Article by: ETO Markets
Gold (XAU/USD) remains near its all-time high, supported by US-China trade war concerns and expectations of further Federal Reserve rate cuts in 2025. A decline in US Treasury yields and a weaker US Dollar have added to the metal’s appeal, though a positive equity market sentiment and slightly overbought technical conditions limit immediate upside movement. US President Trump’s new 10% tariffs on Chinese imports and China’s retaliatory measures have bolstered gold’s safe-haven demand. Traders now focus on upcoming US employment data, including Nonfarm Payrolls, for further direction, with any pullback in gold likely seen as a buying opportunity.
From a technical perspective, Gold (XAU/USD) remains in bullish territory after breaking key resistance levels. However, with the RSI above 70, overbought conditions may suggest a near-term consolidation or modest pullback. Any downside correction could find support around $…–..., with further declines targeting $...–... and then the $... region. Nevertheless, as long as key support holds, the broader trend remains upward, with the path of least resistance favouring further gains. On the upside, resistance could emerge around $... due to overbought psychological buying pressure. If this level is breached, the next target could be $....
