The precious metal posted some modest gains on Tuesday after rising sharply in the previous two sessions. The gains stalled after the risk off sentiment moderated. Reports that Mexico was sending a delegation to the US to negotiate on the recent tariff hikes also helped the sentiment. However, with China, trade tensions continue to remain high.
Will Gold Keep up the Bullish Momentum?
Gold prices firmly remain above the 1320 handle. Yesterday’s session saw price closing with a spinning top candlestick pattern. A bearish follow-through is required for any hopes of a downside correction. In the event that gold closes above yesterday’s high of 1328.98, we expect to see further upside in store. The next main target to the upside comes in at the 1350 handle.
