Gold Price Forecast: XAU/USD resumes its uptrend, heading to $3,365 and $3,415

• Gold rallies with trade uncertainty, US debt woes hurting the US Dollar.
• Investors await the US ISM Manufacturing PMI data and Fed Powell's comments.
• XAU/USD is on a positive trend, with bulls aiming for $3,365 and $3,3415.

Gold (XAU/USD) has been one of the major beneficiaries of the US Dollar sell-off on Monday. The Precious metal has surged about $60 so far, as the US dollar drops across the board on a mix of trade uncertainty and looming woes about the US fiscal health.

Trump rattled markets on Friday, announcing plans to double tariffs on Steel and Aluminium imports, and still had time to open a new front in a confrontation with China about minerals trading.

Investors' concerns that these developments will end up weighing on growth and stoking inflation have revived fears of stagflation. This, coupled with the ongoing fears about the impact of a tax-slashing bill that will boost US debt, has given a fresh boost to the "sell America" trade that has been so positive for Gold over the last few months

XAU/USD Technical Analysis

Gold prices seem to have completed last week's corrective move, ready to resume their broader bullish trend, fuelled by a weaker USD. US ISM Manufacturing figures and Powell´s comments today are likely to determine the US Dollar's direction.

Bulls are testing three-week highs at $3,365 at the moment. A confirmation above here will clear the path to $3,415 ahead of May's peak at 3,440.

On the downside, immediate support is at the $3,285 area and $3,345.

XAU/USD 4-Hour Chart