Gold is considered a safe haven asset and is often used as a hedge against inflation and market volatility. The price of gold tends to rise during times of economic uncertainty or when there is a high demand for it. Conversely, the price of gold may fall when there is economic stability or if there is a lower demand for it.

Factors that can affect the price of gold include:

• Global economic conditions
• Central bank policies
• Geopolitical tensions
• Demand from jewelry and industrial sectors

It is important to note that trading XAU/USD involves a high level of risk, and traders should always conduct thorough research and analysis before making any trading decisions. Additionally, past performance is not necessarily indicative of future results.