- Market sentiment is 51% bullish
- 50% of pending orders in 1000-pip range are set to SELL Gold
- Introduction to Swing Trading webinar at 12:00 GMT
On Thursday the yellow metal's price remained near the lower trend line of the most dominant channel up pattern. It was expected that the support level at the 1,285.00 mark will manage to hold the commodity from falling further. However, strong resistance was located at 1,295.00 mark.
The Census Bureau released two data sets simultaneously, where Residential Building Permits for the month of April came out in line with a forecast of 1.35M, moreover, the same number was released in the previous period.
The US Dollar's slight weakening may be affected due to the lower-than-expected Housing Starts data of 1.29M, compared to the forecast of 1.32M.
Swing Trading webinar at 12:00 GMT
Thursday's economic calendar is very light. There are two insignificant data releases set to occur at 12:30 GMT, which are almost surely not going to cause a reaction in the financial markets. However, as Dukascopy analysts have the time, we have prepared another event for the day.
At 12:00 GMT Dukascopy Analysts are hosting a Swing Trading introduction webinar. During the webinar anyone can participate and learn, how to swing trade by using the information and widgets provided by Dukascopy. Moreover, the chat will be available for asking questions.
XAU/USD with no changes
Following the massive decline mid-Tuesday, Gold entered a period of consolidation which was still apparent on the market this morning. Even tough technical indicators are already moving north, the price has failed to follow this upward trend. Nevertheless, no further fall has likewise occurred.
It is expected that the pair tries to breach the 55-hour SMA and the 50.0% Fibonacci retracement (the breached senior channel line is also located there) at 1,300.00. The following resistance is the 100– and 200-hour moving averages.
Overall, the 1,300.00 area could limit significant appreciation, thus either leaving the rate near this line or pressuring it back lower down to another channel line at 1,280.00.
Hourly Chart
On the daily chart one can notice, that the decline of the bullion was stopped by the support of the most dominant drawn channel up pattern. Due to that reason the continuation of the decline is not expected.
Daily Chart
Swiss market sentiment is almost neutral
SWFX market sentiment is bullish with 51% of traders holding long positions in this session.
Meanwhile, pending commands are set to sell the yellow metal in 62% of all cases.
OANDA traders remain bullish, as 71% of open positions are long in this session. In addition, Saxo bank clients share the same sentiment with 69% long positions.