Last week, gold prices went up because U.S. President Trump said he would place a 100% tax (tariff) on foreign-made movies. This made people feel unsure about international trade, so they bought gold as a safe choice. Gold looked like it might go up again to the high level of 3,500, which it reached on April 22.
However, after news came out that the U.S. and U.K. agreed on a trade deal, and that talks between the U.S. and China would begin, people started to feel less worried about the world economy. Because of that, gold prices fell. There is a strong chance that gold has now made a “double top” pattern (when the price tries to go up twice but can’t go higher the second time).
Still, if gold prices do not clearly fall below the 3,200 level (called the neckline), the upward trend may continue. In that case, gold might try to reach last week’s high of around 3,440 again.
The result depends on how trade talks between the U.S., China, and other countries go, so it’s important to keep an eye on that.
Gold-Dollar Forecast Range for This Week: 3,230 – 3,370
Note: This is not a guarantee of profit. Please make your own decisions when trading.