Gold price is consolidating at higher levels on Monday, kicking off a big week on the right footing. Gold bulls are back in the game after having found solid support around the $1798 region. The downbeat market mood remains the key underlying theme so far, boosted the haven flows into the US Treasuries and gold while weighing on the yields. The benchmark 10-year US Treasury yields are down nearly 5% on the day. Escalating covid concerns and a tense start to the US-Sino trade talks dampen the investors’ sentiment. Additionally, worse than expected German IFO Survey for July intensified economic growth concerns, underpinning gold price.
The Technical Confluences Detector shows that gold has stalled its recent advance just below the powerful resistance at $1812, which is the convergence of the Fibonacci 61.8% one-week, SMA10 one-day and pivot point one-day R1.