Trump Never Fails to Surprise The Market – Gold Bounces off
Arslan Butt • 1 min read
The bullish bat pattern played well on Gold as it bounced off the support zone of $1,300. Investors are likely to continue trading Gold with bearish dollar sentiments. Below is a trading plan.
Gold – Safe Haven Demand
During the US session yesterday, Gold prices took a U-turn after completing the bullish bat pattern at $1,300. The Bulls dominated the yellow metal following the U.S. President Donald Trump declared his proposals to impose a 25% tariffs on imported steel and 10% on imported aluminum.
The decision led to fear that there could be a trade war between the US and China. Due to the uncertainty, investors boosted demand for haven assets. And we know, Gold tops the list of safe-haven assets.
Gold – XAU/USD – Trading Plan
The idea is to monitor $1,314 closely as Gold is likely to stay bullish above this, with a target of $1,320. On the flip side, with a break below $1,314, Gold can drop to $1,310 and $1,306.