‘A stronger dollar and firming U.S. equity markets, along with weaker oil are all headwinds that could hamper gold’s advance over the short-term.’ – Edward Meir, INTL FCStone (based on Reuters)
Pair’s Outlook
The yellow metal suffered its biggest losses of the week on Friday morning. Once more the commodity price had retreated below the support of the weekly PP, which is located at the 1,261.80 level. Due to that fact it can be assumed that the metal once more faces the possibility of falling down to the levels near the 1,250 mark. Although, on Friday morning the closest support level after the weekly PP was the 55-day SMA at 1,255.90. However, during the week gold had retreated more than once below the weekly support and rebounded just near the 1,260 level, which might possibly occur once more.
Traders’ Sentiment
SWFX traders have decreased their bullish sentiment, as 51% of open positions are long. In addition, 57% of set up orders are to buy the metal—a slight decrease from 58% on Thursday.
