Gold Price Forecast: XAU/USD pulls back from record highs near $5,000

LONDON (January 23) Gold’s (XAU/USD) is trading at $4,915 at the time of writing, practically flat on the daily chart following a 4-day rally that brought price action to a fresh all-time high of $4,967. The precious metal, however, maintains its broad bullish tone intact, on track for a 6.5% weekly gain.

Precious metals remain underpinned by a weak US Dollar, as the deterioration of the US-EU relationship amid the Greenland feud has eroded the US's image as a global leader, triggering a "Sell America" trade. Trump eased the tone toward Europe at the Davos Forum and touted an agreement with NATO on the Arctic Island, but restoring the confidence of the US's main trade partner will be difficult. 

FXStreet