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"Gold prices broke higher yesterday and we wait to see if they gather momentum, given other markets are seeing risk-on we would not be surprised to see gold prices struggle."
- Bullion Desk (based on The Week)
Pair's Outlook
US Dollar strengthened after encouraging employment data from America. Gold peaked at 1,280 on Friday, but came under selling pressure by week-end and finished it slightly below 1,260. Bullish development remains on top of the medium-term agenda, backed by the February uptrend line, currently at 1,229, and the weekly pivot point at 1,251. Moreover, weekly indicators are long on the bullion for the moment. The first target area for the bulls is 1,290 guarded by weekly/monthly R1s. Only a drop below 1,221 (20-day SMA) will erode the positive outlook.
Traders' Sentiment
The number of bullish traders in the SWFX market is back to 41% by Monday morning, meaning over the weekend their portion decreased by only one percentage point.
© Dukascopy Bank SA