GOLD: Triangle forms as range-bound movement tests trend traders
Movement remains range-bound awaiting risk-related shocks.
The latest Gold performance:
Trend traders continue to await a breakout opportunity, as the price movement remains range-bound and a triangle forms on the daily chart, even if safe haven assets enjoyed a slight boost as equities took a small dip. In the absence of a risk-related shock, safe haven assets have been in slight retreat as investors slowly shift back to riskier assets, especially with US equities close to recent record highs despite disappointment in earnings.
Gold Technical analysis, overview, strategies, and levels
From a technical standpoint, nearly all its main indicators remain neutral, its price still below its main short-term moving averages, and a non-trending Average Directional Index (ADX).
|Current Technical Overview||Consolidation|
|Technical Overview Conformist Strategies||Sell 1st Resistance After Reversal, Buy 1st Support After Reversal|
|Technical Overview Contrarian Strategies||Buy 1st Resistance Upon Breakout From Below, Sell 1st Support Upon Breakout From Above|
|S/L for 2nd Resistance||1519.0|
|S/L for 1st Resistance||1507.0|
|Relative Starting Point||1488.9|
|S/L for 1st Support||1470.8|
|S/L for 2nd Support||1458.8|
IG client and CoT sentiment for Gold
While we aren’t seeing early signs of a significant shift to range-trading, there are slight changes in retail sentiment registered even on small price changes, with the bias down 2% to a heavy long 71%.
Gold chart with retail and institutional sentiment
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