SPOT GOLD – fresh bullish extension on weaker dollar; US data eyed
|Bulls accelerated on Friday to new 4-month high on broadly weaker dollar, signaling continuation of larger uptrend from $1236 (12 Dec low).
Fresh bullish acceleration took out barrier at $1328 (Fibo 76.4% of $1357/$1236), eyeing barriers at $1334 (13/15 Sep highs) and $1340 (11 Sep high) which marks the last obstacle on the way towards key barrier at $1357 (08 Sep peak, the highest since mid-2016).
Bullish techs and sentiment underpin the advance, with the yellow metal being on track for the fifth straight bullish weekly close.
Fresh direction signals are expected from US CPI / retail sales data today.
However, corrective action cannot be ruled out on overbought daily RSI and profit-taking at the end of the week.
Rising 10SMA tracks the advance since mid-Dec and marks support at $1317, which should ideally hold dips and guard key near-term support at $1308 (10 Jan correction low).
Res: 1332; 1334; 1340; 1357
Sup: 1327; 1321; 1317; 1308
Interested in XAYYSD technicals? Check out the key levels
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