- Market sentiment is 53% bullish
- 53% of pending orders in 1000-pip range are set to BUY Gold
- Look at the week webinar at 12:00 GMT
After booking large gains at the end of the last week, on Monday morning the yellow metal once more traded below the 1,300 mark. Although, the metal had found support in an old support line.
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.
Economic Calendar webinar at 12:00 GMT
As it is accustomed to by macroeconomic data release traders, Monday's trading session will have no notable data releases occurring.
However, tune in at 12:00 GMT to the Dukascopy webinar platform to see the presentation of this week's macroeconomic data releases and the creation of the coverage schedule.
Gold falls to 100-hour SMA
After reaching the upper boundary of a two-month channel down and its weekly high at 1,310.00 mid-Friday, the yellow metal began depreciating against the US Dollar as a result of which it was trading at the 100-hour SMA early this morning.
Technical indicators are generally neutral for this session. Given that there is a bank holiday in the US, big leaps either direction are unlikely. In terms of the downside, it is expected that the pair does not fall below the 200-hour SMA near 1,290.00, as this level is likewise reinforced by the 55-period SMA on the four-hour chart.
Meanwhile, bullish gains should be capped near the upper channel line at 1,307.00. This scenario is likewise supported by the six-day channel whose upper boundary is located at 1,310.00.
Hourly Chart
As it was expected by watching the daily chart, the 1,300 mark did provide resistance. However, there is a more notable important fact on the daily chart.
Namely, the 200-day SMA stopped the surge, which followed the breaking of the 1,300 cluster. Moreover, the 1,300 cluster began to provide support on Friday. If the 200-day SMA at 1,307.50 would get passed, the 1,315 level would be targeted next.
Daily Chart
Swiss market sentiment is almost neutral
SWFX market sentiment remains unchanged and bullish with 53% of traders holding long positions in this session.
Meanwhile, pending commands are set to buy the yellow metal in 51% of all cases. This indicates that the retail traders of the Swiss Foreign Exchange are not shifted to either of the two sides, but rather stay in the middle.
OANDA traders remain bullish, as 65% of open positions are long in this session. In addition, Saxo bank clients share the same sentiment with 71% long positions.