The precious metal is recovering from the sell-off earlier in the week. The rebound comes as trade concerns resurface. President Trump’s speech on Tuesday was widely expected to cover the progress of the trade talks.
However, a lack of any reference and the previous comments about not rolling back tariffs have added to investor concerns. Risk sentiment is once again rising, causing gold and other safe havens to appreciate.
XAU/USD Testing Resistance – Can it Break?
The precious metal promptly recovered from the losses. At the time of writing, XAUUSD is testing the resistance level near 1462. But with the Stochastics pointing to a hidden bearish divergence, price might retreat.
In the near term, we expect gold to be confined within the 1462 and 1445 level. Only a breakout from this range will set the near term direction for the precious metal.
