- Gold managed to find some support near multi-month lows, around the $1,677-76 region.
- A modest USD pullback, softer tone around the equity markets benefitted the commodity.
- The upbeat US economic outlook, an uptick in the US bond yields should cap the upside.
Gold managed to find some support near multi-month lows, around the $1,677-76 region. A modest USD pullback, softer tone around the equity markets benefitted the commodity. The upbeat US economic outlook, an uptick in the US bond yields should cap the upside.
From a technical perspective, gold price tried to test the nine-month low of $1,676 again, but it is returning slightly higher over the last 4-hour session. In the very-short-term, the metal has been in a strongly bearish tendency after the pullback from $1,747.The momentum indicators are confirming the recent upside move, with the stochastic posting a bullish crossover in the oversold territory, within the %K and %D lines.
A jump higher could find immediate resistance at $1,688 ahead of the $1,700 psychological number. Even higher, the yellow metal could hit the psychological round figure mark $1,700. More upside pressure could send the bulls towards the support breakout point around the $1,721.6 barrier.
