XAU/USD prolongs recovery

On Friday, XAU/USD cross surged noticeably for a second consecutive day in a row, as the price of metal added around $20 per ounce to approach monthly R2 and close the trading session at $1,280. This level, however, is strengthened by the Bollinger band and 61.8% Fibonacci retracement around $1,290, which may calm down bulls' intentions to push Gold further to the upside. Despite bullish short and medium-term technical indicators, we see the yellow metal undergoing through the period of correction at least on a daily basis. 

Distribution between opened positions for buying and selling Gold is still remaining rather positive and in favor of former, as bulls have a majority with 64% of all trades, a further drop of 4% over the weekend. As a result, share of bulls plummeted to the lowest level in 24 working days.