Gold goes back below $ 3,200 as the demand for safe refuge fades, lowering more than $ 300 from the historical maximum

• The Xau/USD quotes about $ 3,180, on the way to a weekly loss of more than 4%.
• The decrease in commercial tensions and a stable geopolitical panorama reduce the demand for precious metal.
• The price has fallen more than $ 300 from the historical maximum of April 3,500.

The gold (Xau/USD) continues in Declive this Friday, falling to $ 3,180 and marking a strong weekly loss of more than 4%, the largest since November 2024. The precious metal has lost more than $ 300 from its historical maximum of $ 3,500 established in April, since the demand for safe refuge is weakened and technical sales are accelerated.

The feeling of risk improved this week after the United States (USA) and China agreed to reduce tariffs for 90 days, while geopolitical tensions remained attenuated with the stabilization of risks between India and Pakistan and in the Middle East. After a period of contradictory reports and a diplomatic stagnation, Ukrainian and Russian officials finally opened direct conversations since 2022.

In the last macroeconomic report, the consumer’s feeling index of the University of Michigan for May fell dramatically to 50.8, from 52.2 in April and well below the 53.4 forecasts. This reflects the growing household concerns about persistent inflation and economic uncertainty. While this normally increases the attractiveness of gold, the market response has been moderate, with the operators focused on gaining and technical positioning in place.

This occurs after a week of moderate economic data from the US, including consumer price rates (CPI) and production prices (IPP) softest than expected and an increase in initial unemployment applications to a maximum of three months. The markets now value at least two features of Federal Reserve (FED) in 2025, being the first probable in September. However, the president of the FED, Jerome Powell, warned that the clashes driven by the offer could reintroduce the volatility of inflation, complicating the future monetary policy.

Technical Analysis: The Xau/USD weakens, the double ceiling indicates a bearish turn

From a technical perspective, the yellow metal is still under pressure when entering the weekend, quoting about 3,180 $ after not being able to stay above the psychological brand of $ 3,200. The daily chart reveals a double roof pattern, pointing out a possible tendency reversal from the April historical. The neck line of this pattern is closely aligned with the support zone of $ 3,160 –3,150 $, which is also reinforced by the Exponential Mobile (EMA) average of 50 days at $ 3,168. A decisive breakdown below this area could open the door to a deeper correction towards the level of $ 3,000.

The Relative Force Index (RSI) in the daily chart is about 45 below the neutral level, showing a weakening of the bullish momentum and further confirming the dwitching technical bias. Unless the bullies recover the psychological region of $ 3,250 with strong conviction, the way of lower resistance for gold remains inclined towards decline.