Gold in wait-and-see mode after Monday gains

We do not project substantial volatility for gold prices in the nearest future, after the metal stabilized and booked first gains in nine days on Monday. Yesterday the price erased those positive changes to return back to 1,089 by the end of trading. Veterans Day and closed markets in the US will most probably keep the yellow metal in the sideways trend today, while more pronounced movements are awaited by Friday when more fundamentals will be published. In the medium term, however, we see gold losing value in the direction of Jul low at 1,070.

The total number of bullish market participants in the SWFX market rose back to 57% by Wednesday morning, after experiencing a slight decrease on Tuesday to 56%. Thus, long sentiment is the highest in the past seven weeks for the moment.