Gold: Consolidation within a medium-term uptrend?

Paul Rejczak Gold Price Forecast

The gold futures contract gained 0.4% on Friday, as it retraced some of the recent declines. The price bounced off $1,675 level (the daily low at $1,676). Gold continues to trade within a downward correction following its April’s advance. On April 14 it was the highest since November of 2012 and the daily high was at $1,788.80. Since then we’ve seen some profit-taking action and a potential downward reversal.

Gold is basically going sideways since early to mid April. It is trading above February-March local highs. So it looks like a consolidation within a medium-term uptrend.

Gold is trading 0.1% lower this morning. What about the other precious metals? Silver lost 0.23% on Friday and today it is trading 0.5% lower. Platinum lost 4.81% last Friday and today it is 0.5% higher. Palladium lost 3.49% and today it is up 0.8%. Precious metals continue to trade within a short-term consolidation.

Last week’s economic data releases have revealed more coronavirus damage to the economy. There will be no important economic data releases today. Tomorrow we will get the ISM Non-Manufacturing PMI, among others. But investors will await Friday’s U.S. monthly jobs data release. Take a look at our today's Market News Report to find out about this week’s economic data releases.

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Author

Paul Rejczak

Gold Price Forecast

Paul Rejczak is a stock market strategist who has been known for the quality of his technical and fundamental analysis since the late nineties.

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