Gold once again created new history with a price increase to an all-time high of $2,830 yesterday.
The positive trend in the gold price movement pattern has been maintained for several weeks while analysts assess the impact of the development of the focus issue in the market, especially the implementation of tariffs by President Donald Trump.
After announcing tariffs on Canada, Mexico and China last weekend, Canada continued to retaliate with retaliatory tariffs on the United States (US).
Most recently, China also announced additional tariffs on the US after Trump suspended tariffs on Canada and Mexico for a period of 30 days.
Observing the price movement on the XAU/USD chart which measures the value of gold against the US dollar, the price showed a decrease at the opening of the early week yesterday.
After approaching the 2770.00 zone, the price rebounded again as the US dollar lost its strengthening momentum following the suspension of Trump's tariffs on Canada and Mexico.
The gold price returned to above the 2800.00 level and then reached 2830.00 which became the latest peak for gold.
After that, the price movement began to level off until it resumed trading in the Asian and European sessions today (Tuesday).
The price remained hovering above the 2800.00 zone and was above the Moving Average 50 (MA50) support line on the 1-hour time frame on the XAU/USD chart, still showing a bullish signal for gold.
If the pattern is maintained, gold will continue to record new highs this week until there are factors that bring gold down again.
If it falls below the 2800.00 level, investors will start to be cautious.
A continued decline to penetrate below the 2770.00 level will be a warning for a more severe fall for gold.
Next, the 2720.00 zone will be the focus if the decline in gold prices continues with a clear trend change signal.
