XAU/USD bounces off monthly PP

Source: Dukascopy Bank SA

Positions Today Yesterday % Change
Longs 47% 47% 0.00%
Shorts 53% 53% 0.00%
Indicator 4H 1D 1W
MACD (12; 26; 9) Buy Buy Sell
RSI (14) Sell Neutral Neutral
Stochastic (5; 3; 3) Sell Sell Neutral
Alligator (13; 8; 5) Buy Neutral Neutral
SAR (0.02; 0.2) Buy Buy Sell
Aggregate

As it was expected, the monthly PP at the 1,258.37 mark put up resistance to the commodity price. As a result of the bounce off from the level of significance the yellow metal traded near the 1,255 mark on Tuesday morning. Due to the fact that the monthly pivot point has proven itself as a strong enough level of significance to stop the surge of the metal, additional support will be needed for the bullion. The support needed to surge above the monthly PP is mot likely going to be provided by the 55-hour SMA combined with the lower trend line of the ascending channel pattern. As the two mentioned levels of support surge, they will push the metal's price higher. However, that is not likely going to occur during Tuesday's trading session.

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