- SWFX market sentiment is 63% bullish
- 53% of pending orders in 1000-pip range are set to BUY Gold
- CB Consumer Confidence at 14:00 GMT
On Tuesday morning the decline of the yellow metal's price continued, as the price traded near the 1,220 mark. Meanwhile, it had no support as low as the 1,200 level.
The Census Bureau released the monthly Durable Goods Orders that came out lower-than-expected of 1.0% compare with forecasted 3.0%, but better than previous period.
"A senior investment manager Patrick O'Donnell, from Aberdeen Standard Investments, said: "It looks like the European side is trying to acquiesce to Trump's demands. They've got more to lose if tariffs look to be placed on autos, for example. So over multi-month horizon, we'll probably see lower tariffs globally".
Minor impact at 14:00 GMT
There will be a minor notable macroeconomic data release occurring during the day. Namely, look out for the CB Consumer Confidence data set at 14:00 GMT. It might cause a slight bounce in the commodity price that might provide a needed push up or down.
The data release will be covered by Dukascopy Analytics on the bank's live webinar platform. The event will start at 13:50 GMT.
XAU/USD remains under SMAs
Gold trading above the 1,220.00 mark during the following two sessions has revealed a two-week ascending triangle. XAU/USD has recently failed to accelerate from its bottom boundary, being bounded by the 55-, 100– and 200-hour SMAs.
Technical indicators on longer-term charts show that the tendency does remain upwards, so it is likely that the nearest resistance cluster at 1,225.580 is breached. In line with this scenario, the yellow metal should aim for the upper triangle line at 1,235.00.
In case the 55-period (4H) and -hour SMAs prove to be stronger, this pattern should be breached to the downside. The next support is the monthly S2 at 1,206.00. It should be noted that monthly pivot points will be recalculated tomorrow, as a new month begins.
Hourly Chart
The previously described narrow ascending channel was broken by the resistance of the 1,235.00 level. However, the move on a larger scale could have been anticipated, as the commodity price remains in a large scale descending channel pattern.
Daily Chart
Swiss traders still bullish on XAU/USD
63% open positions of SWFX market traders are going long on the metal. The same situation is apparent with pending orders, which were set to buy the bullion in 56% of all cases on the Swiss Foreign Exchange. However, previously 60% of orders were set to buy the metal.
OANDA traders are bullish on the commodity with 81% of open positions being long on the XAU/USD pair today. Saxo Bank traders are likewise bullish with 73% long positions. This shows that institutional traders are considerably bullish on Gold, while retail ones are more cautious.