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"There's some short-term support around $1,180, but I still believe the price will continue to go down given pressure from the Fed increasing rates."
- Jinrui Futures (based on CNBC)
Pair's Outlook
On Wednesday morning, XAU/USD is receiving reliable support from April's new monthly PP, which is located at 1,183. Moreover, this level is reinforced by another demand area at 1,180 (2003 low; weekly S1). As a result, Gold is currently rebounding after a failure to violate those supports yesterday. Daily technical indicators continue sending green signals, meaning that the yellow metal may gain value in the short-term. The closest resistance is placed as far as 1,199, thus giving additional optimism for the bullish scenario.
Traders' Sentiment
Sentiment towards the precious metal is optimistic among SWFX traders as the total share of bullish positions (64%, +2% since yesterday) has a strong advantage over the bearish ones at the moment.
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