Gold skyrockets past 1,075 to expose 1,086

A rally, which commenced last Friday, has been successfully prolonged during the past 24 hours. Gold advanced above the July low and 20-day SMA to close slightly below the weekly R1 at 1,077. Now the focus is shifting to the monthly pivot point at 1,086, which is strengthened by the upper Bollinger band and the current December high. Moreover, daily technical indicators are now expecting the bullion to climb. However, bearish risks are created by the 55-day SMA (1,105), which has recently managed to cross another moving average on the longer-term 100-day time frame.  

The SWFX market participants continued to fix profit from the gains gold has showed on Friday and Monday. As a result of that, the percentage of long traders sank from 57% to 56% yesterday, the lowest level in six trading weeks.