- SWFX traders are 59% bullish
- 76% of pending orders in 500-pip range are set to BUY the gold
- Gold price climbs above 1,256.63
- Upcoming Events: Empty day
Despite the progress made on tax reform, the buck did not notably appreciate against the bullion. Accordingly, today the pair is expected to resume the surge with the aim to reach the upper boundary of a senior descending channel.
The US retail sales expended more than anticipated in November, amid the brisk start of holiday season, suggesting that sustained economic strength could set the stage for further Fed's rate hikes in 2018. The Commerce Department stated that the country's retail sales increased 0.8% in November, following an upwardly revised 0.5% gain in the prior month, as households bought range of goods, while cutting motor purchases.
Quiet Friday
An economic calendar does not contain any macroeconomic events that are worth following today.
XAU/USD forms symmetrical triangle
Even though the US House and Senate came to agreement on tax reform while the Census Bureau showed an increase in the Core Retail Sales, the exchange rate did not even pass the 1,250.00 mark. From technical point of view, yesterday's movement revealed that the pair is moving simultaneously in junior ascending and descending channels that are located within the three-week long channel down. For this reason, the rate is expected to continue paving path to the north despite the hindrance set up by the 200-hour SMA and the weekly PP. In support of this, an absolute majority of pending orders in 500-pip range are set to buy. However, there is a high chance that this target will not be achieved today due to empty economic calendar and traditionally low trading activity.
Hourly Chart
The upturn that continued yesterday as well suggests that the three-month long descending channel began to transform into the falling wedge formation. Accordingly, the rest of the month the pair is likely to spend in an upward movement, although in general it is expected to keep moving in southern direction.
Daily Chart
Markets sentiment remain bullish
Traders of Dukascopy are bullish on valuation of the gold, as 59% of open positions are long. Accordingly, 59% of pending commands are to buy the commodity.
OANDA traders are bullish, as 76% (+1%) of open positions are long, compared to previous trading day. In the meantime, SAXO bank traders are less bullish, as 65% (+3%) of open positions are long.