The recent movements in the price of gold since the surge on the shockingly bad NFP have been a microcosm of the year to date. The similarity lies with respect to the 38.6% fibonacci retracement of strong moves higher, showing that after sharp moves the market hasn’t pared back the majority of the gains.
After the pullback to the 38.6% level of the recent leg higher at 1235 yesterday buyers stepped-in and sent the market higher. In doing so price broke above the recent high of 1248 and in doing so marked a fresh impulse. The 1248 level now becomes the first area to look for in terms of support.
There’s no significant resistance until around the 1264 region for Gold bugs which represents a 61.8% Fib retracement from the 2016 high which was made at the start of last month
Any person acting on this information 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.