The gold price is extending its rebound, helped by the new decline seen on the greenback. Despite stocks being back in green, investors’ appetite for bullion remains healthy as an insurance in case of new sell off on shares markets.
Technically, looking at the 4-hour chart on the spot price, we have a significant resistance level at $1,745, while a more ambitious target is the seven-and-a-half-year peak reached a few weeks ago at $1,765. Meanwhile, a new decline below the support zone at $1,700 and particularly below the recent bottom of $1,680 would be seen by markets as a weakening signal.
