© Dukascopy Bank SA
– Robin Bhar, Societe Generale (based on Reuters)
Pair's Outlook
On early Monday morning the yellow metal had slightly retreated, as it approached a strong support cluster just below it. The cluster is made up of the monthly S2 at 1,273.23, weekly PP at 1,272.97 and the 20 and 200-day SMAs at 1,273. Moreover, the ascending channel pattern's lower trend line is located at 1,270.97. Due to that it is most likely that the metal will rebound against the cluster and surge, as the way up to the 1,285.54 level, where the first weekly resistance is located at, is free.
Traders' Sentiment
SWFX traders remain bullish regarding the bullion, as 54% of open positions are long. In the meantime, 61% of trader set up orders are to buy the metal.
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