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"The June Fed minutes look dovish, with ‘many' concerned about Greece and ‘many' wanting more signs of strong growth for liftoff."
- BMO Capital Markets (based on Bloomberg)
Pair's Outlook
XAU/USD made a second attempt to close below the major support level of 1,154 yesterday, which is reinforced by the monthly and weekly S1. However, this demand used to be reliable enough to keep bears aside and even provide long market participants with some positive momentum. As a result, gold closed the day at the 1,158 mark and it continues growing today as well. The current base scenario indicates a surge in the direction of 1,171 (weekly PP), which is strengthened by 20-day SMA from above. Despite that, weekly technical indicators are quite pessimistic towards the bullion at the moment.
Traders' Sentiment
Bullish sentiment of the SWFX market with respect to gold eased slightly in the past 24 hours, as the share of long open trades decreased from 73% to 69%.
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