On Monday (September 1), spot gold prices surged sharply, with prices approaching record highs as doubts over the Federal Reserve’s independence and tariff uncertainties boosted safe-haven demand.
Gold extended its recent rally as market participants believed the White House’s response could undermine the Fed’s independence, raising concerns over monetary policy stability. In addition, the U.S. Court of Appeals ruled that most tariffs are illegal, which will keep market uncertainty elevated and enhance gold’s appeal.
Given the current situation, if buying momentum continues, gold could rise above $3,500/oz. Once this level is broken, the next resistance lies at $3,550/oz and $3,600/oz. Conversely, if gold falls below the June 16 high of $3,452/oz (now acting as support), prices could retreat toward the July 23 high of $3,438/oz. A further decline could push gold down to $3,400/oz.
Spot gold closed up $29.05, or 0.84%, at $3,476.31/oz.
Trading suggestion: After touching a daily low of $3,436.7, gold rebounded strongly. Breaking last week’s high, prices reached as high as $3,490 before consolidating. The daily candle eventually closed at $3,476.5, forming a bullish candlestick with a slightly longer upper shadow. Today’s outlook favors continued upward movement on pullbacks.
Trading strategy: Buy near 3,463, SL 3,456, TP 3,472–3,500.
Disclaimer: The views expressed are solely those of the author and do not represent the official position of Followme. Followme does not take responsibility for the accuracy, completeness, or reliability of the information provided and is not liable for any actions taken based on the content, unless explicitly stated in writing.
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