#GoldTechnical Analysis#24K99 News: Gold prices faced a sell-off during the North American session on Monday (March 24) due to President Trump's increasingly softer stance on tariffs imposed on trade partners, which significantly heightened market risk appetite.safe-haven assetAs a result, Gold was pressured. Additionally, the gold price was also dragged down by the USD reaching a two-week high.

By the close on Monday, spot gold finished down $11.18, reported at $3012.08 per ounce; during the New York session on Monday, the gold price briefly fell to $3002.37 per ounce.

FXStreet Analyst Christian Borjon Valencia pointed out that as there were reports indicating that reciprocal tariffs would focus on some of the USA's trade partners, market sentiment improved, leading to a decline in gold prices on Monday, which fell to around $3002 per ounce. The rising U.S. Treasury Notes Yield and strengthening dollar continued to undermine Gold's bullish momentum.

The U.S. 10-Year Treasury Notes Yield soared 8 basis points on Monday to 4.331%. The U.S. real yields, which have an inverse correlation with gold prices, increased by nearly 2 basis points to 1.980%.

Bart Melek, a commodities strategist at TD Securities, said: "We have seen Gold prices rewrite historical records time and time again, and now the market is just consolidating these gains, while the appreciation of the USD exacerbates this situation."

Gold prices have set historical records 16 times this year, with a peak of $3057.21 per ounce last week.

The USD reached a two-week high on Monday, making Gold, priced in USD, more expensive for overseas Bids. The USD Index (DXY), which tracks the performance of the dollar against a basket of six currencies, rose 0.20% to 104.35.

Trump may exempt some countries from reciprocal tariffs, Wall Street sentiment is optimistic.

President Trump plans to partially delay some tariffs originally scheduled to be imposed on April 2, leading to optimistic trading sentiment on Wall Street. U.S. stocks rose sharply on Monday, with the Dow Jones Industrial Average increasing by about 600 points and the Nasdaq rising by about 2.3%.

The Dow closed on Monday up 597.97 points, a gain of 1.42%, at 42583.32 points; the Nasdaq rose 404.54 points, a gain of 2.27%, at 18188.59 points; the S&P 500 Index rose 100.01 points, a gain of 1.76%, at 5767.57 points.

According to the Wall Street Journal, President Trump stated that he may lower the reciprocal tariffs planned for next month on U.S. trade partners, and some countries may receive exemptions.

(Screenshot source: Wall Street Journal)

On Monday, Trump stated to reporters in the Oval Office, "I might give the green light to many countries." He indicated that the extent of the reciprocal tariffs might not reach the levels he previously promised, which were consistent with the rates imposed by other countries on USA goods.

Trump stated that the EU has agreed to reduce auto tariffs to 2.5%, the same level as the USA. Additionally, Trump further explained that not all tariffs will take effect on April 2.

According to Bloomberg, President Trump announced on April 2 tariffs on specific countries, rather than imposing equal tariffs on most countries. These measures target the so-called 'Dirty 15' trade partners.

There are signs of a softening stance in Trump's tariff policy, easing investors' concerns about the outbreak of a global trade war.

Wolfe Research Analyst Tobin Marcus stated in a Research Report: 'Given that all of Trump's tariffs designed so far have been additive, exempting certain industry tariffs from the tariff plan that takes effect on April 2 will significantly reduce its total scale and the maximum tax rate for targeted industries.'

Gold is traditionally seen as a safe-haven investment tool during times of geopolitical and economic uncertainty, and it typically performs well in a low-interest-rate environment.

The Federal Reserve maintained interest rates last week, indicating that there might be two rate cuts of 25 basis points each this year.

Officials from the USA and Russia held talks in Saudi Arabia, hoping to make progress on a broad ceasefire in Ukraine, and Washington also hopes to negotiate a maritime ceasefire agreement in the Black Sea before reaching a broader agreement.

Bob Haberkorn, a senior market strategist at RJO Futures, said: "If the talks in Saudi Arabia this week make progress that leads to a slight softening of gold prices, I believe there will soon be a Bid."

How to Trade Gold?

FXStreet Analyst Christian Borjon Valencia pointed out that the upward trend in gold prices still exists; however, as gold prices fell below $3010 per ounce, some traders took profits. Gold prices face the risk of dropping below $3000 per ounce.

Valencia stated that once gold prices fall below $3000 per ounce, sellers will target the volatility high of $2956 per ounce on February 24, followed by the significant level of $2900 per ounce and the 50-daysimple moving average(SMA) $2874 per ounce.

(Spot Gold daily chart Source: FXStreet)

On the other hand, Valencia added that if the price of Gold remains above $3,000 per ounce, the first resistance level will be the March 21 high of $3,047 per ounce, followed by this year's high of $3,057 per ounce and the $3,100 per ounce mark.