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"Despite the softer data, we think the market is going to remain focused on risks of a more hawkish Fed message next week, and risks to U.S. front-end yields remain skewed to the upside from current low levels."
- BNP Paribas (based on Reuters)
Pair's Outlook
On Thursday, the bullion rebounded marginally after a significant slump that took place a day before, on Wednesday. By getting support from weekly S1, bulls decided to act and pushed Gold towards 55/20-day SMAs at 1,195. Nevertheless, the short-term outlook for the yellow metal remains bearish. Moreover, as the gap between 55 and 200-day SMAs is widening, it points on a strengthening pace of a drop. However, for the negative scenario to be confirmed in medium-term, the bullion should retreat below 2013 low at 1,180.
Traders' Sentiment
Bulls have a substantial advantage over bears at the SWFX market, as they are holding 74% of all opened trades in the morning on Friday, up one percentage point during past 24 hours.
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