© Dukascopy Bank SA
The bullish trend, which occurred yesterday, failed to continue, and the XAU/USD exchange rate rebounded from the weekly PP at 1714. As for now the price is gradually approaching the monthly S1 at 1704, which might slow down the current movement downwards. If it is broken, then the exchange rate is very likely to reach the lower Bollinger band at 1683, which in turn will probably stop the prevailing tendency downwards. Additionally, RSI indicator shows a neutral signal, although the overall indicator outlook is negative.
Traders' sentiment
SWFX market participants are optimistic regarding the XAU/USD exchange rate, as 70% of traders hold long positions and 30% of traders hold short positions. The distribution of orders is very similar, since more than 74% of traders ordered to buy and almost 26% of traders ordered to sell gold.
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