Gold Slips to $3,334 on US-EU Trade Truce and Fed-Pause Odds Surge – Bears Target $3,200

Gold prices lost their shine on easing trade war tension. It hits an intraday low of $3334   and is currently trading around $3336.

While retaining 50% duties on steel and aluminum and leaving some items like alcoholic drinks, automobiles, and certain agricultural products under continuing discussion, the U. S. -EU agreement replaces the threatened 30% levy with a 15% tariff on most EU exports—including cars but excluding aircraft, particular chemicals, generic drugs, semiconductor machinery, and crucial raw materials. In return, the EU promises about $600 billion in fresh U. S. investments, $750 billion in American energy purchases (LNG, oil, and nuclear), and more military equipment acquisitions, strengthening both economic and security relations. Seen as a political compromise preventing a larger trade war, the agreement promises dependability despite some industry reservations about the 15% rate. Its whole economic and strategic effect will depend on outstanding tariff lines and future dispute-resolution tools.

Markets eye the FED's monetary policy decision today for further direction.

According to the CME Fed Watch tool, the chances of a rate pause in the Jul 30th 2025, meeting have increased to 97.40% from 95.90% a week ago.

Technical Analysis: Key Levels and Trading Strategy
 
Gold prices are holding below short-term moving averages, 34 EMA and  55 EMA, and above long-term moving averages (200 EMA) on the 4-hour chart. Immediate support is at $3320, and a break below this level will drag the yellow metal to $3300/$3295/$3275/$3245. The near-term resistance is at $3345 with potential price targets at $3360/$3385/$3400/$3420/$3450/$3475/$3500/$3550.

It is good to sell on rallies around $3360 with a stop-loss at $3400 for a target price of $3200/$3000.