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"Gold is stuck near $1,200 as there is more interest in equity, oil and currency markets," said a precious metals trader in Sydney. "If the dollar drops further, gold could probably go up to $1,220."
- a precious metals trader in Sydney (based on CNBC)
Pair's Outlook
The precious metal remained capped by two technical levels on Friday, as 55 and 20-day SMA denied the idea of developing above 1,205 or below 1,195. However, this week these levels, together with weekly PP at 1,198 make up a dense support zone. Judging from daily technical indicators, the bullish scenario is more preferable for Monday. In case the bullion remains above 1,200, it may jump as high as 1,213 in the near-term. However, a fall below the round mark will provide bears with momentum to drive Gold down to 1,188 (weekly S1).
Traders' Sentiment
Bulls have a substantial advantage over bears at the SWFX market, as they are holding 73% of all opened trades in the morning on Monday, a decrease of two percentage points over the weekend.
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