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 Bank S.A. 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 testing wedge top
Gold is testing a descending trendline this morning, as we start to see some signs that the recent downturn could come under pressure. The continued creation of lower highs and lower lows provides us with a reason to believe that the trend remains in play for now, yet a break and hourly close above $1181 would provide a signal that we are set for some short-term gains.
As such, watch out for whether this trendline breaks and whether $1181 remains intact as a gauge of whether this downtrend will continue apace.