Gold prices are seeing limited declines as trade tensions offer some support. XAU\/USD has pushed above its 50-day Simple Moving Average (SMA) of $3,321 after dipping below $3,300 earlier in the European session.<\/p>\n
US President Donald Trump has informed Japan of a 25% tariff on all exports to the US, starting August 1. This move, along with recent US labour data showing resilience, has contributed to a firmer US Dollar, reducing the chances of a Federal Reserve interest rate cut.<\/p>\n
Tariffs are expected from the US to various countries, set to take effect on August 1. The BRICS summit is underway, with emerging economies like Brazil, Russia, India, China, and South Africa seeking to lessen reliance on the US Dollar, fuelling discussions on de-dollarisation.<\/p>\n
Gold’s technical analysis reveals a symmetrical triangle pattern, indicating potential for a breakout. The current price is attempting to stay above $3,300, with downside targets at $3,228 and $3,164 on negative moves. If the price recovers, key resistance lies at $3,350 and $3,371 for bullish momentum. The Relative Strength Index (RSI) remains near a neutral level of 49.<\/p>\n
While gold prices have seen only modest drops in recent sessions, external pressures continue to provide a buffer. At the centre of this has been the re-emergence of trade disputes, particularly following the US decision to impose a fresh 25% tariff on Japanese exports. The adjustment, scheduled for enforcement from the beginning of August, introduces what could be another layer of tension in already fragile global trade relationships. That announcement coincided with a more resilient-than-expected US labour market report, a combination which offered the Dollar a bump and largely muted expectations for easing by the Federal Reserve in the short term.<\/p>\n
We\u2019ve seen gold climb back above its 50-day SMA to touch $3,321 after dipping earlier below the psychologically important $3,300 level. This move, while not robust, does show that buyers are not entirely on the sidelines. There still appears to be a base of demand willing to step in below $3,300, though that may be tested if macro conditions fail to turn more supportive.<\/p>\n
Elsewhere, the BRICS summit pushes a different force in motion. With Brazil, Russia, India, China, and South Africa accelerating discussions around de-dollarisation, questions are growing over longer-term shifts in reserve currency status and what they might eventually mean for commodity pricing. While this agenda is not new, the momentum appears stronger this time amidst increasing Western sanctions and a more fragmented global financial system.<\/p>\n
Technically, we\u2019re watching a symmetrical triangle pattern continue to form. These patterns often become tighter before price breaks out one way or the other. We’re sitting just above the lower boundary, and it appears the metal is testing that range\u2019s patience. A break below $3,300 would put eyes on the next support zones at $3,228 and further down at $3,164. Should buyers regain some traction, particularly if support at $3,300 holds on a closing basis, upside resistance near $3,350 followed by $3,371 comes into focus. Markets may need a new catalyst to push decisively outside this range.<\/p>\n
The RSI at 49 reflects a rather balanced momentum picture. There\u2019s no firm bias to either the upside or downside. That neutral reading fits with how players are positioning \u2014 no sharp build-up in long or short interest, and instead a kind of waiting stance, which often precedes larger moves. If anything, volume is drying slightly, a typical characteristic before breakout volatility.<\/p>\n
We should monitor for directional confirmation before adjusting exposure. There is little technical justification for aggressive positioning either way until price exits the defined pattern. For now, using the edges of the triangle as temporary boundaries offers a practical route \u2014 short near resistance, long near support \u2014 with tight stops. However, as the pattern matures, tighter rangebound strategies become riskier.<\/p>\n
In weeks ahead, sensitivity to geopolitical statements and macroeconomic surprises will be amplified due to the size of moves being compressed on the charts. Quick reactions to data, central bank meetings, and any further developments out of the BRICS discussions could spark outsized price responses. Timing entries around these events will be far more important than usual, particularly given the lack of trend strength across most metals. The market is unlikely to remain quiet for long.<\/p>\n
Create your live VT Markets account<\/a>\u00a0and\u00a0start trading<\/a>\u00a0now. <\/b><\/p>\n","protected":false},"excerpt":{"rendered":" Gold steadies above $3,300 as trade tensions rise; technicals hint at breakout, with key resistance ahead.<\/p>\n","protected":false},"author":62,"featured_media":16977,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[59],"tags":[],"class_list":["post-25982","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-live-updates"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/25982","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/users\/62"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/comments?post=25982"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/posts\/25982\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media\/16977"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/media?parent=25982"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/categories?post=25982"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-asia\/wp-json\/wp\/v2\/tags?post=25982"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}