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"Precious markets declined, as market participants pared back safe-haven exposure in gold."
- ANZ (based on CNBC)
Pair's Outlook
Gold denied violating boundaries of the sideways corridor, in which the metal has been developing for the past eight trading days. Yesterday in particular, volatility of price changes has also gone up, while the bullion itself dropped back below 1,200. It seems that both weekly PP/55-day SMA have little influence on the precious metal, and some broader movement should determine the future direction. The base scenario remains bearish, and the case of closure below 1,183 (monthly PP) will confirm negative expectations. Otherwise, a surge above 1,213 will open doors for bulls to push Gold towards 1,224 in the medium-term.
Traders' Sentiment
Bulls have a substantial advantage over bears at the SWFX market, as they are holding 72% of all opened trades in the morning on Tuesday, a decrease of one percentage point from yesterday.
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