This week, rising Treasury yields and the threat of a global trade war are contributing to a stagflation environment, causing investors to rush into gold, and spot gold prices at one point climbed as high as $2,886/oz.
US President Donald Trump has launched trade war 2.0 with the imposition of strong tariffs on imports from Canada, Mexico and China. The 25% tariffs on Canada and Mexico were postponed for a month, but the 10% tariffs on China took effect. China responded with 10-15% tariffs on US energy and agricultural products, effective from February 10, 2025. Trade war 2.0 expands in scope compared to 2018, includes many major trading partners and takes place in parallel with the US-China technology war. Countries with large trade surpluses with the US face the risk of becoming new tariff targets.
If negotiations between the US and its partners fail to reach an agreement, retaliation could escalate, disrupting global trade, weakening economic growth and creating inflationary pressures, leading to stagflation, thereby boosting gold prices. On the contrary, if the Trump administration "cools down" the trade war by reaching an agreement after imposing tariffs, gold prices may decrease due to weakening shelter demand.
Some economic data affecting gold prices next week:
Tuesday: US Federal Reserve (FED) Chairman Jerome Powell testifies before the Senate Banking Committee.
Wednesday: US consumer price index (CPI), FED Chairman Jerome Powell testifies before the House Financial Services Committee.
Thursday: US producer price index (PPI), US weekly unemployment benefit applications.
Friday: US retail sales
📌Technically, gold prices still maintain an upward trend in the medium and long term. However, downward corrections can occur at any time considering shorter time frames such as H4, D1.
On the H4 chart, the price can adjust to around the hard resistance level which is also the dynamic resistance level around 2790 before entering an upward trend again.
Notable technical levels are listed below.
Support: 2,844 – 2,834USD
Resistance: 2,869 – 2,886 – 2,891USD
SELL XAUUSD PRICE 2911 - 2909⚡️
↠↠ Stoploss 2915
BUY XAUUSD PRICE 2789 - 2791⚡️
↠↠ Stoploss 2785
US President Donald Trump has launched trade war 2.0 with the imposition of strong tariffs on imports from Canada, Mexico and China. The 25% tariffs on Canada and Mexico were postponed for a month, but the 10% tariffs on China took effect. China responded with 10-15% tariffs on US energy and agricultural products, effective from February 10, 2025. Trade war 2.0 expands in scope compared to 2018, includes many major trading partners and takes place in parallel with the US-China technology war. Countries with large trade surpluses with the US face the risk of becoming new tariff targets.
If negotiations between the US and its partners fail to reach an agreement, retaliation could escalate, disrupting global trade, weakening economic growth and creating inflationary pressures, leading to stagflation, thereby boosting gold prices. On the contrary, if the Trump administration "cools down" the trade war by reaching an agreement after imposing tariffs, gold prices may decrease due to weakening shelter demand.
Some economic data affecting gold prices next week:
Tuesday: US Federal Reserve (FED) Chairman Jerome Powell testifies before the Senate Banking Committee.
Wednesday: US consumer price index (CPI), FED Chairman Jerome Powell testifies before the House Financial Services Committee.
Thursday: US producer price index (PPI), US weekly unemployment benefit applications.
Friday: US retail sales
📌Technically, gold prices still maintain an upward trend in the medium and long term. However, downward corrections can occur at any time considering shorter time frames such as H4, D1.
On the H4 chart, the price can adjust to around the hard resistance level which is also the dynamic resistance level around 2790 before entering an upward trend again.
Notable technical levels are listed below.
Support: 2,844 – 2,834USD
Resistance: 2,869 – 2,886 – 2,891USD
SELL XAUUSD PRICE 2911 - 2909⚡️
↠↠ Stoploss 2915
BUY XAUUSD PRICE 2789 - 2791⚡️
↠↠ Stoploss 2785
Note
Spot gold prices rose about $10 in the short term, reaching a new intraday high of $2,876.40 an ounce, up about 0.51%.Note
Trade closed: target reached
Plan SELL +150pips🔽🔽🔽Note
▫️ Spot Gold hit $2940 per ounce or more, up 1.11% on the day.Note
Gold prices hit an all-time high, the dollar maintained its strength, while stocks traded subdued on Tuesday as investors awaited further adjustments in US trade policy and statements from Fed Chairman Jerome Powell on tariffs and inflation.Note
🔴Spot gold price is down $8 in the short term and is currently trading at $2,885.51 an ounce.Note
⚫Spot gold prices hit a record high of 2,942.6 USD/ounce during the Asian trading session on Tuesday, continuing a strong upward trend from October 2023 with a total increase of 63% in 16 months.Note
🔴Spot gold prices have increased by more than $20 in the short term and are currently trading at $2,891.64 an ounce.Note
The US dollar index DXY is down more than ten points in the short term, down 0.50% on the day and currently at 107.46.
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🔰| Forex trading
🧩Get an average of 1200 pips per month
🧩Consulting on Risk Management
🧩Account management
🧩Forex signals have a high win rate
🚨🚨🚨FREE SIGNALS: t.me/+8q3AxDD9CsRjYzI1
🧩Get an average of 1200 pips per month
🧩Consulting on Risk Management
🧩Account management
🧩Forex signals have a high win rate
🚨🚨🚨FREE SIGNALS: t.me/+8q3AxDD9CsRjYzI1
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.