Gold extended bullish momentum and added +$1.04 since Friday's high with 1232.81 for Monday's trading session. US Retail Sales and CPI, although was positive compared to previous sessions but not up to forecasts, lowered June Fed hike odds by 10% after being estimated at 84% which pushed XAUUSD higher.
The ascending events of North Korean launching a missile-test has contributed to gold bullish forces as the yellow metal tends to hike when political tension tightens and Trump's continuous decisions also pressured U.S Index for lower levels.
The United Nations Security Council is due to meet on Tuesday to discuss the missile launch and gold levels will await the results with possibility of additional rallies depending how the events accelerate.
US economic data shows absence today which leave gold to trade technically.
Technical Overview:
Trend: Bearish Sideways
Pivot: 1226.50
Resistance levels: R1 1233.20, R2 1236.89, R3 1241.17
Support levels: S1 1223.38, S2 1220.49, S3 1216
Comment: Gold is currently bullish on H1 supported by rising trend but remains bearish as general trend. Only a close above R3 level signals a trend reversal.
Long positions above pivot 1226.50 with targets at R1&R2. Long positions below pivot 1226.50, look further for S1&S2 as target.
Save