‘We are fairly neutral on the outlook for gold this week.’ – Daniel Hynes, ANZ (based on Reuters)
Pair’s Outlook
On Monday morning the yellow metal’s price remained unchanged, as the bullion attempted and failed to move higher and break the resistance put up by the 20-day SMA at 1,234.09 and the monthly R1 at 1,237.68. As a result the bullion was set to fall down to the 38.20% Fibonacci retracement level at 1,219.20, which it failed to reach on Friday because comments from US monetary policy makers bashed the strength of the US Dollar lower. That caused the yellow metal to regain the losses it had suffered, as the Buck had strengthened.
Traders’ Sentiment
SWFX traders have not changed their opinion, as 54% of open positions are long and 57% of trader set up orders are to buy the metal on Monday.
