Daily Price Outlook
Gold surged to a new record on Monday, driven by a weakening U.S. dollar and intensifying concerns over the global economic outlook.
Market unease has grown in recent days as U.S. President Donald Trump escalated tariff threats, raising uncertainty over trade relations with China and sending investors toward safer assets.
Adding to the volatility, China issued a warning to other nations not to enter into broad trade agreements with the U.S. that could compromise their own interests.
Investor sentiment has soured further following Trump’s criticism of the Federal Reserve. The president’s remarks targeting Fed Chair Jerome Powell—and reports that his team is exploring the legal feasibility of replacing him—have stirred doubts about the central bank’s independence.
This political backdrop has contributed to a sharp pullback in the dollar, with the euro climbing to a multi-year high and the yen strengthening to levels not seen since last fall.
Amid this backdrop, gold has become the asset of choice for investors seeking stability.
Market Anxiety, Policy Concerns Push Bullion Higher
The combined pressure of market instability and central bank uncertainty has pushed investors to reconsider gold’s role in global portfolios.
UBS analyst Giovanni Staunovo notes that weakening confidence in the U.S. dollar’s reserve status and a broader move away from risk are providing strong tailwinds for gold. He expects prices to move toward $3,500 in the coming months if current conditions persist.
Thin liquidity during the Easter Monday trading session amplified price movements, with most European markets still closed.
But even in light volume, the trend was clear: investors are reassessing the reliability of U.S. financial assets, traditionally seen as safe, and turning to alternatives like gold.
With monetary policy credibility under question and geopolitical tension rising, gold appears set to remain in demand—especially if the dollar continues to slide and the Fed’s independence faces further scrutiny.
GOLD (XAU/USD) – Technical Analysis
Gold is extending its bullish momentum within a rising price channel, having broken above the $3,375 level and now eyeing the upper range of resistance at $3,418.
Price action remains firmly supported by the ascending trend structure, and the 50-period SMA at $3,280 continues to trend higher, reinforcing the broader uptrend.
The immediate structure suggests continuation, especially as the recent pullback held firmly above $3,350 — now a key support zone. A close above $3,408 would likely accelerate buying interest toward the next key target at $3,418.
On the other hand, a drop below $3,350 could trigger a move toward $3,323 or even $3,285, where the rising channel and moving average converge.
Momentum indicators also point to strength. The RSI is back above 70 at 73.01, signaling strong bullish pressure. While this may be nearing overbought territory, the trend remains intact as long as $3,350 holds.
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