empty
25.04.2025 12:23 PM
XAU/USD. Analysis and Forecast

This image is no longer relevant

Gold maintains a bearish tone today, though it has slightly recovered from the daily low, climbing back above the $3300 level.

Investors continue to hope for a potential de-escalation in the trade war between the U.S. and China, which supports a positive tone across equity markets. Combined with the moderate strengthening of the U.S. dollar, this has kept traders cautious about opening new long positions in the precious metal.

U.S. President Donald Trump mentioned that trade talks are ongoing, boosting optimism. However, China's Foreign Minister has denied that any current tariff negotiations with the U.S. are taking place, which is tempering market optimism and supporting demand for gold as a safe-haven asset.

The U.S. dollar is gaining support from positive macroeconomic data. The U.S. Department of Labor reported a slight increase in initial jobless claims to 222,000, indicating a resilient labor market. Additionally, durable goods orders in March jumped by 9.2%, significantly exceeding the 2% forecast. Transportation equipment rose for a third consecutive month, surging by 27%.

Amid these figures, Federal Reserve officials are discussing the possibility of rate cuts. According to Cleveland Fed President Beth Hammack, such a cut could occur as early as June if compelling data on the economy emerges. Fed Governor Christopher Waller also supports lowering rates if tariffs begin to negatively impact the labor market. Traders are still pricing in the likelihood of at least three rate cuts by the end of the year.

Geopolitical tensions also persist, helping to limit the decline in gold prices.

From a technical perspective, the key resistance level stands at $3370. A successful breakout above this mark would open the path to $3400. A continued upward move could reach an interim barrier at $3425, above which bulls may attempt to reclaim the psychological level of $3500.

On the other hand, weakness below $3330 would lead to a decline toward the weekly low near $3260. A break below this level would open the door for a further drop toward $3230 and $3200. This would signal that the market has peaked and that the short-term bias is shifting in favor of the bears.

However, as long as oscillators on the daily chart remain in positive territory, bulls have not lost their strength.

Today, for better trading opportunities, it's worth watching the release of the revised University of Michigan Consumer Sentiment Index in the U.S.

Irina Yanina,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

EUR/USD: Analysis and Forecast

The EUR/USD pair is attracting buyers today, breaking a three-day losing streak and attempting to build intraday momentum above the psychological 1.1300 level. This indicates a renewed interest from buyers

Irina Yanina 11:59 2025-05-02 UTC+2

U.S. Labor Market Data Could Be a Major Disappointment

Employment growth in the U.S. likely slowed in April, although the unemployment rate is expected to remain unchanged, pointing to healthy but moderate demand for labor. However, the Trump administration's

Jakub Novak 10:08 2025-05-02 UTC+2

The ECB Has No Other Choice

The European currency continues to lose ground against the U.S. dollar as traders increasingly place bets on the European Central Bank's upcoming monetary policy decisions. According to data, the chances

Jakub Novak 10:03 2025-05-02 UTC+2

China Has Finally Responded

The euro, the pound, and other risk assets reacted with gains following statements from Chinese authorities that they are assessing the possibility of trade negotiations with the United States—marking

Jakub Novak 09:57 2025-05-02 UTC+2

The Process Has Begun. China Is Ready for Trade Talks (There's a Chance of Renewed Decline in Gold and EUR/USD Prices)

Trading on the last day of the week is unfolding positively. News that China is ready to begin negotiations has inspired investors to buy risk assets and weakened the U.S

Pati Gani 09:43 2025-05-02 UTC+2

The Market Enters Turbulent Waters

The market is confident that tariffs won't materialize or that companies can pass them on to customers. The S&P 500's eight-day rally—its longest since August—strongly hints at this. So does

Marek Petkovich 09:24 2025-05-02 UTC+2

What to Pay Attention to on May 2? A Breakdown of Fundamental Events for Beginners

Only a few macroeconomic events are scheduled for Friday, but some are quite significant. Naturally, the focus is on the U.S. NonFarm Payrolls and unemployment rate, yet it's also important

Paolo Greco 09:14 2025-05-02 UTC+2

GBP/USD Overview – May 2: The U.S. Dollar Didn't Rise for Long

On Thursday, the GBP/USD currency pair continued to decline. The dollar had strengthened for three consecutive days—despite having no objective reason. U.S. macroeconomic data has been consistently weak; there were

Paolo Greco 03:50 2025-05-02 UTC+2

EUR/USD Overview – May 2: The Dollar Faces a New Collapse – And It's Far from the Last

On Thursday, the EUR/USD currency pair once again traded relatively calmly, but the U.S. dollar failed to show any meaningful growth this time. A little bit of good news goes

Paolo Greco 03:47 2025-05-02 UTC+2

USD/JPY: A Rough Patch for the Yen

At its latest meeting, the Bank of Japan kept all key policy settings unchanged, effectively implementing the most expected baseline scenario—despite earlier conflicting statements from central bank officials

Irina Manzenko 01:19 2025-05-02 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.