Gold Price Targets $3,382 – Can XAU/USD Rally Amid Trade Hopes?

Gold is finding support after the big sell off as traders weigh the impact of US-UK trade talks and upcoming US-China talks. Here’s a closer look at the current market dynamics and trade setups for the week.

Gold Finds Support Near Key Fib Levels

Gold dipped to an intraday low of $3,274.38 on Friday as the US-UK trade deal was announced. President Donald Trump and UK Prime Minister Keir Starmer said they had a “breakthrough deal” on Thursday, keeping a 10% US tariff on British goods and the UK cutting its own tariffs to 1.8% from 5.1% to improve US market access.

But the price rebounded as traders bought the dip, pushing gold back up to the 50% Fib level at $3,327. This level is close to the 50 period EMA at $3,342 so it’s a key decision point for the metal.

Key Levels to Watch

• Immediate Resistance: $3,342 (50 EMA) – break above and it’s good to go

• Next Resistance: $3,352 (38.2% Fib) – short term target

• Major Resistance: $3,382 – big hurdle for a sustained move

On the downside the 61.8% Fib at $3,303 is strong support with renewed buying interest. Break below and it could test the 78.6% Fib at $3,268.

Trade Setup for XAU/USD

For those looking to buy, the confirmation would be a sustained break above the 50 EMA at $3,342. This would open up the 38.2% Fib at $3,352 and then $3,382 if momentum continues.

• Buy Entry: Above $3,342 (50 EMA)

• Target 1: $3,352 (38.2% Fib)

• Target 2: $3,382 – Key Resistance

• Stop Loss: Below $3,303 (61.8% Fib) for risk management

Momentum traders should look for a bullish MACD crossover as additional confirmation before entering as it’s a trend reversal signal.