- SWFX traders are 51% bearish
- 54% of pending commands are to buy the bullion
- The metal's price started the Monday's trading at 1,269.69
- Upcoming Events: Chicago PMI; US Pending Home Sales; EU Preliminary Flash GDP
The yellow metal continues to gain on Monday. It is most likely that the surge of the bullion will not stop in the near future.
The US Bureau of Economic Analysis reported on Friday the first release of the country's GDP for the second quarter rose at an annualised pace of 2.6% from the downwardly -revised reading of 1.2% in the prior quarter, in line with economists' projections. Still, despite the generally positive trend, Friday's data is overall unlikely to bolster any major shift in sentiment on the US economic performance.
Various minor data releases
No data release will be covered by the Dukascopy Research team on Monday. The reason for that is the fact that there are no notable macroeconomic data releases scheduled for the day. In the meantime, there are some minor data sets about to be published. The Chicago PMI will be released at 13:45 GMT. Just after that, at 14:00 GMT the US Pending Home Sales data will be published.
XAU/USD surges to 1,270.93
An announcement of the US Advance GDP last Friday resulted in a 0.76% increase of the yellow metal price. Nevertheless, the impulse given by this fundamental event in conjunction with the monthly PP at 1,258.37 was not enough to allow the rate to reach the upper trend-line of an ascending channel. In the beginning of Monday's trading session it made a rebound near the 1,270.93 level and started to move towards the updated weekly PP at 1,281.80, which is additionally secured by the 55-hour SMA. In order to stay in the channel, the pair needs to reach its southern boundary. If it fails to do so and rebounds from the above support level, this might be a sign of a formation of a rising wedge.
Hourly Chart
The daily chart reveals no additional information regarding the short term perspective. However, one can see that the surge is most likely going to continue, as there are no initially noticeable resistance lines, which could stop the bullion.Daily Chart
SWFX traders almost neutral
Traders of Dukascopy are neutrally bearish, as 51% of open positions are short. Meanwhile, once more the dominant bullishness has returned to the pending commands, as 54% of set up orders are to buy the metal.
OANDA Gold traders remain with a strong bullish outlook, as open positions are 63% long on Friday. In the meantime, SAXO bank sentiment is 59% bullish.