Gold started the week by surging and breaking the resistance of a descending channel pattern. The move was expected, as already on Friday the pair clearly bounced off the support of a dominant pattern and began to surge.
In regards to the near term future, Dukascopy Analytics expects a consolidation of the gains. Namely, the metal’s price will remain unchanged by trading sideways.
Afterwards, the hourly simple moving averages would catch up and push the commodity price into the resistance of the monthly PP at 1,287.27
