After a parabolic move in Gold, Its time for profit booking.

Risk aversion keeps fueling Gold demand, with the bright metal conquering the $2,900 threshold on Monday. Demand for safety was boosted by comments from United States (US) President Donald Trump, who pledged to impose more tariffs over the weekend.

Speaking to reporters on Air Force One, President Trump said on Sunday he would introduce new 25% tariffs on all steel and aluminium imports into the US while adding that he would soon announce reciprocal tariffs to all countries that levy US goods and services. XAU/USD extended gains towards $2,911.21 during American trading hours, hovering nearby at the time of writing.  

Demand for safe-haven assets persists despite the positive tone of equities. The US Dollar (USD) trades with a firmer tone against its high-yielding rivals, while demand for Gold and the Japanese Yen (JPY) exceeds that of the Greenback. Meanwhile, Wall Street holds on to modest intraday gains, although caution prevails as investors await fresh Trump’s headlines.

Gold Structure: Parabolic Move in Gold, Long Legged Doji on 4hr, Huge RSI Divergence.

Intraday Strategy/ Intraday Trend: Sell on Rise till 2925, Sell on Break of Supports/ Positive,Again Strong above $2933

Weekly Trend: Extremely Positive

Major Resistance: 2920, 2926, 2942.50

Major Support: 2912, 2906, 2897