Gold below 100-day MA, but risk reversals retain bullish bias
|- Gold fell below 100-day MA on Friday, signaling technical weakness.
- However, sentiment in the options market remains bullish.
The yellow metal breached the 100-day MA support on Friday, indicating the recovery from the Oct. 27 low of $1263 has ended. However, the risk reversals still favor the bulls.
Risk reversals
The one-month 25 delta risk reversals gauge turned positive on Nov. 9 and improved to 0.225 on Friday. It indicates the bullish bias in the options market strengthened despite the drop below the key technical support.
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