© Dukascopy Bank SA
- RJO Futures (based on Bloomberg)
Pair's Outlook
It is a critical moment for gold, as the precious metal is fighting to stay above the 200-day SMA in order to confirm a strong bullish signal and establish a new support area near 1,176. Yesterday, the monthly R2 at 1,181 failed to underpin the price, and the technical indicators except for a few studies refuse to support a bullish scenario. Still, the risks are skewed to the upside. If the bullion manages to consolidate atop the long-term moving average during the next few days, the first target will be the monthly R3 at 1,205, while in the longer-term perspective we will likely see a test of the key resistance at 1,230.
Traders' Sentiment
SWFX market participants remain almost equally divided between the bulls and bears. At the moment 51% of open positions are long and 49% are accordingly short.
© Dukascopy Bank SA