HomeContributorsTechnical AnalysisBullion Shows No Signs Of Weakness

Bullion Shows No Signs Of Weakness

‘Gold will climb about 6 percent through the end of the year as investors seek a shelter from rising political risk, according to Independent Strategy Ltd.’s David Roche.’ – Ranjeetha Pakiam (Based on Bloomberg)

Pair’s Outlook

Gold showed solid demand with a surge above the 1,219.20 level, which is strengthened by the 100-hour SMA and the upper Bollinger Band, and taking into account the significance of the area, a consolidative movement should follow on shorter time-frames. The next target on the upside lies at 1,233.81 and could be tested today, in case XAU/USD delays the correction for the next few sessions. In case the breakout is false, 1,211.01 will serve as a floor when the rate returns below the broken area, but we stand in favour of a firmly rising scenario.

Traders’ Sentiment

Traders remain almost neutral on the metal, as 51% of open positions are short on Monday. Meanwhile, 61% of trader set up orders are to buy the bullion.

Dukascopy Swiss FX Group
Dukascopy Swiss FX Grouphttp://www.dukascopy.com/
This overview can be used only for informational purposes. Dukascopy SA is not responsible for any losses arising from any investment based on any recommendation, forecast or other information herein contained.

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