Gold remained within the recent 45 point range yesterday, making a high of 1475 and a low of 1453 in quiet trading. The market sold off on stronger than expected weekly jobless claims, though recovered quickly before dropping back towards the lows in the evening session.
The bulls will be encouraged by the price holding above the 20 DMA, which is now starting to curl upwards, as well as the buying that comes into the market on any dip towards 1440.
However, the bears will note that the price has dropped below the bottom boundary of the recent uptrend channel, has been unable to make progress beyond the 1475-1485 resistance area and momentum continues to wane as the RSI drifts lower.
The dollar has found some renewed strength, mainly due to Yen weakness, whilst oil looks to be topping below resistance at $97-$98.
Equities continue their charge higher, diverting funds and investor interest away from gold - we continue to note that the next rally leg in gold will not commence until equities correct; this looks a distant prospect at present.
Today's video for subscribers looks at the recent trading action in more detail and our strategy for our next trade.
The bulls will be encouraged by the price holding above the 20 DMA, which is now starting to curl upwards, as well as the buying that comes into the market on any dip towards 1440.
However, the bears will note that the price has dropped below the bottom boundary of the recent uptrend channel, has been unable to make progress beyond the 1475-1485 resistance area and momentum continues to wane as the RSI drifts lower.
The dollar has found some renewed strength, mainly due to Yen weakness, whilst oil looks to be topping below resistance at $97-$98.
Equities continue their charge higher, diverting funds and investor interest away from gold - we continue to note that the next rally leg in gold will not commence until equities correct; this looks a distant prospect at present.
Today's video for subscribers looks at the recent trading action in more detail and our strategy for our next trade.
