- Val Kensington (based on Investing.com)
The yellow metal had been gaining strength for almost a solid week since June 7, and it seemed that the bullion is about to reach the 1,300 mark this week. However, the metal declined on Monday from 1,283 at the start of Monday's trading session to 1,280 at the end of day's trading. However, as gold kept being volatile, it did not pass or even touch the support below provided by the first monthly resistance at 1,278.62. The support below is stronger than the resistance of weekly R1 at 1,289.03, and for the metal upwards, on the way to the 1,300 level, there are no more resistances.
SWFX traders have become very bearish on the currency during the last 24 hours, as open short positions increased from 53% to 66%. However, it did not cause the metal to drop and started to indicate that gold might be oversold.