© Dukascopy Bank SA
Today the XAU/USD exchange rate experienced a slight bearish reaction, which has already managed to breach the monthly R2 at 1764, and at the particular moment the price faces the weekly PP at 1756, which might bring some bullish impulse. In case it is broken, then the exchange rate might decline until the weekly S1 at 1734, which in turn is expected to reverse the prevailing movement. In addition, the indicator outlook is positive, and current resistances are at 1795, 1806 and 1817, and they seem to be safe for now.
Traders' sentiment
Despite the prevailing downtrend, SWFX market participants maintain their optimism about the XAU/USD exchange rate, since 74% of traders hold long positions and only 26% of traders hold short positions. The orders are distributed in a similar manner, as more than 76% of traders ordered to buy and only 24% ordered to sell gold.
© Dukascopy Bank SA