Gold continues to hover 1720-30

Opening price 1728.74 Yesterday closing price 1729.60 Lowest price 1719.95 Highest price 1729.06

Gold continues to hover 1720-30

Last Friday, technology and consumer stocks pushed US stocks higher last Friday. Investors weighed the latest corporate earnings and U.S. efforts to reopen the economy. At the same time, the consumer confidence index is better than the previous value and expectations, which puts some pressure on gold. But the market is cautious about the possibility of secondary risks after restarting the economy. This week the US and Europe will release GDP data for the first quarter, and the market will look for clues. Also pay attention to the three major interest rate resolutions. It is worth mentioning that the Fed has further reduced the scale of debt purchases. As the liquidity crisis eased, the net short position of the US dollar increased to the highest in two years, which is beneficial to the price of gold.

Technical Analysis: Gold

The market has been hovering between 1720-30 since last week, and the volatility is relatively flat. It opened at 1728 in early trading today, and the shock movement is currently above 1720.

On the 1-hour chart, the market momentum is slightly insufficient. Since the opening of the candlestick is short, there is no obvious price trend. Bollinger Bands are smooth and parallel, with no trending guidance. The price movement on the mid-track line shows that there is no major change in the market.

MACD and Bollinger Bands indicate the same pattern. There is insufficient kinetic energy in the market, and there is almost no kinetic energy in the relative strength. The DIF is close to the zero line, and the market may continue to maintain the state of 1720-30 today.

Day trade strategy: light long positions, below 1700 you need to consider understanding long positions and stop loss.

Resistance: 1735 1740 1750
Support: 1720 1710 1700

Z.com Bullion Analyst: Tony Liu