We have seen the Dollar strengthen and this has triggered some selling on the majority of commodities, including gold and silver. Investors are in risk-off mode, but they are not yet buying gold. They are looking for clarity before taking positions, trying to predict what will be the next major movement for bullion.
Indeed, the gold spot price – after surpassing $1,900 – has now fallen again to $1,890. Technically we are still in the same lateral trading range of the last three months between $1,850 and 2,070. If we zoom in on the last few weeks, we have a first resistance placed at $1,910, followed by another one at $1,930. The key support zone of $1,850-$1,860 remains crucial for keeping gold in this lateral tendency.
Chief analyst at ActivTrades and technical analyst for Italian newspaper 'La Stampa'. Carlo Alberto provides regular commentary for UK outlets including the BBC, Telegraph, the Independent Bloomberg & Reuters. He is also a weekly commentator for CNBC Italy and a columnist for La Stampa. He worked for Bloomberg as their Equity Research Fundamental Analyst before joining brokerage ActivTrades in 2011 to specialize in currency markets and commodities. In 2014 he published a 250-pages book on gold and the gold market, followed in 2018 by a new updated edition.
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© 2019 High Leverage FX - All Rights Reserved.