The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication.
Gold continues to trade within a falling wedge pattern, following a double top formation earlier this month. While we are seeing the market trend lower, a falling wedge is bullish in nature and as such, the next big move is expected to be to the upside.
Therefore, while we could see further losses, these are likely to be minimal, as the pattern reaches its apex. A bullish signal comes with a closed hourly candle above $1340.