© Dukascopy Bank SA
"The recent strength in gold was driven by some reallocation of profits away from equity markets. We view the price in a firm downtrend, which is broadly driven by a framework of a recovering U.S. economy and rising rates."
- Societe Generale (based on Bloomberg)
Pair's Outlook
The bullion was only little changed in price during the trading session back on Thursday of this week. The metal continued to hover below the weekly R1, which is located at $1,227. This resistance, in turn, is strengthened both by 100-day SMA and the Bollinger band, meaning that a breach of this important line is unlikely in the nearest future, unless there are considerable fundamental factors, which could heat up demand on Gold as the save-haven asset.
Traders' Sentiment
Distribution between long and short opened positions for Gold versus the US dollar on the SWFX market remains broadly unchanged for a fourth consecutive day in a row. In course of last 24 hours, the sentiment returned back to the level seen on Wednesday, as at the moment 58% of all positions are long on the yellow metal, compared to 59% seen on Thursday's morning.
© Dukascopy Bank SA