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"If Yellen is speaking on behalf of her own view, rather than the collective, then I think she should give off an impression similar to what Lockhart's been saying, that December is on the table."
- IG Ltd (based on WBP Online)
Pair's Outlook
On Thursday yellow metal's bulls took overwhelming control over the market as they sent price up to 1,150 by the end of trading, up $23 on a daily basis. It was the sharpest surge gold has observed since May 13. Despite closing above both 100-day SMA and weekly R1, the metal is correcting lower at the moment, following Dollar-positive comments from Fed's Janet Yellen. As daily and weekly indicators are giving mixed signals, we suggest that steep moves are unlikely today, unless US GDP brings unexpected numbers. The price is assumed to be bounded between 1,150 and 1,140 today.
Traders' Sentiment
Advantage of bullish market participants remains negligible at the moment as their share is stable at just 53% of all open positions, while bears are holding 47% of all trades.
© Dukascopy Bank SA