© Dukascopy Bank SA
- ANZ Bank (based on CNBC)
Pair's Outlook
The bears are not as active as expected, but the outlook will remain negative as long as resistance at 1,100 is intact. We still expect the technical indicators to turn out correct by gold gaining strong downward momentum and head towards the 2010 low at 1,045. Below this support is the 2008 high at 1,032. An alternative course of events is a breach of 1,100 and a subsequent rally back to the 2014 low, where bulls may start taking profits and thus renew a sell-off.
Traders' Sentiment
Bullish traders are currently building up their presence in the SWFX market. The percentage of long positions has increased up to 75% since the previous report, leaving the bears in an even more distinct minority.
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