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"The Chinese would rather buy cheap blue chips in the market. I don't think they have any intention to buy gold for the time being."
- Heraeus Precious Metals (based on CNBC)
Pair's Outlook
US jobless claims have initially sent the precious metal as high at 1,168. While this daily high was somewhat below the nearest resistance at 1,171 (weekly PP), the XAU/USD cross failed to extend gains and was forced to slide back. Another attempt to grow is being undertaken on Friday, but the 1,171 mark still seems to be too far away for bulls. The risks of a failure are not off the table as well, with weekly and monthly technical indicators suggesting that gold has to be sold on the market.
Traders' Sentiment
Sentiment of the SWFX market with respect to gold remains undoubtedly positive at the moment, as bulls are enjoying a majority with 70% of all open trades.
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