© Dukascopy Bank SA
"In the second quarter, $1,300 to $1,400 is a fairly reasonable price for gold as the central banks are not going to raise interest rate any time soon."
- Wing Fung Financial Group (based on CNBC)
Pair's Outlook
The monthly pivot point at 1,265.92 has not been confirmed for a second time in a one week on Friday. Provided with a boost, gold prices returned above the 1,270 level and are expected to see more positive impetus coming from the weekly pivot point, which lies at 1,272.24. The key bullish target is the 1,287/88 zone, where the most immediate supply is offered by the weekly R1 and the May 9 peak. At the same time, the monthly PP and 20-day SMA should guarantee the short-term demand for the bullion. Daily and weekly technical signals are supporting the positive case, as they indicate to the upside.
Traders' Sentiment
Only 26% of SWFX market participants are anticipating that the precious metal will gain enough strength in order to appreciate in price in the nearest future. This is the lowest share of bullish traders in more than 11 weeks.
© Dukascopy Bank SA