The price of gold is in new standard levels with the escalation of the trade tariff war

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The price of gold is optimistic after US President Donald Trump announced 25 percent of automatic definitions, days before the start of the new mutual tariff.

The price of gold rose to new record levels of $ 3,086 on Friday, after US President Donald Trump added fuel to the tariff fears of 25 % on car imports in the country. The precious metal is likely to remain on the emerging canal as the market is waiting for a new set of “mutual” definitions that start on April 2.

However, the US dollar has support from the economic data issued on Wednesday, which has eased the fears that the recession could be on the cards. US GDP grew at a slower rate of 2.4 % in the fourth quarter 2024, a decrease from 3.1 % in the third quarter but the highest average expectation of 2.3 %. Initial unemployment claims also appeared better than expected in the week ending on March 20, at 224,000 compared to 225,000 expected.

However, the momentum on the price of gold is likely to remain strong, as the affected countries are likely to impose a retaliatory tariff, which escalates from the feelings of risk. Definitions can affect car exports of $ 400 billion to the United States, equivalent to approximately 10 % of all imports in the country. If we look forward, the PEC will be later on Friday, and it will add a momentum to the gold price momentum.

Gold price prediction

Gold prices are valid at $ 3,070, and the momentum indicates that the upward trend will prevail if the price remains higher than this level. With buyers control, the metal is likely to meet the first resistance at $ 3,085. The fracture of this level will indicate a stronger momentum on Xauusd that can open the path to test 3,100 dollars.

On the other side, the momentum will turn to the downside if the price decreases to less than 3,070 dollars. This first support that was created at $ 3,057 can witness. The collapse under this level will nullify the bullish direction. In addition, this step can lead to a stronger declining momentum to test 3,040 dollars.