Gold bullish bets hit lowest since November

Gold bullish bets slipped to five months lows in the week ended April 23.
The ongoing recovery rally could be extended to $1,300.

Omkar Godbole FXStreet Contributor

The net bullish positions in the Gold futures market fell to the lowest level since November during the week ended April 23, according to the data released by the Commodity Futures Trading Commission (CFTC) on Friday.

The non-commercial futures contracts traded by large speculators and hedge funds fell by 18,878 to total a net position of 37,395 contracts. The gross bullish positions fell by 6522 contracts while the bearish positions increased by 12,356 contracts.

The yellow metal is currently trading at $1,285 per Oz, having jumped 0.69 percent on Friday, courtesy of broad based USD weakness seen post-US GDP release.

While the 5-week and 10-week moving averages are still trending south, indicating a bearish setup, a bounce to $1,300 cannot be ruled out as renewed concerns the US economy will likely keep the American Dollar on the defensive.

Pivot points

1. R3 1.1242
2. R2 1.1208
3. R1 1.1178
PP 1.1145
1. S1 1.1115
2. S2 1.1081
3. S3 1.1051

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

GBP/USD dips below 1.3350 with bullish momentum losing steam

The British Pound ticks lower against the US Dollar Monday, attempting to close a seven-day rally, as tensions rise again in the Strait of Hormuz, one of the critical points in the peace process between Washington and Tehran. The GBP/USD pair trades near 1.3340 at the time of writing, down from 1.3387 highs last week, although it maintains a near-term bullish trend intact.

EUR/USD drops toward 1.1400 as US Dollar rebounds

EUR/USD pair trades marginally lower, heading toward 1.1400 in the European session on Monday. The pair faces slight selling pressure as the US Dollar gains ground after a negative weekly close. Middle East concerns and the USD/JPY rally support the Greenback.

Gold hangs near daily low amid Hormuz risks; receding Fed hike bets limit losses

Gold recovers slightly from the daily low, albeit it retains the negative bias, and remains below a two-week high touched earlier this Monday. The US Dollar attracts some safe-haven flows amid tensions over the Strait of Hormuz and undermines the bullion. However, receding US Federal Reserve rate hike bets might hold back USD bulls from placing aggressive bets.

Dogecoin recovery stalls amid early signs of whale support

Dogecoin (DOGE) price nears $0.0770, maintaining a broadly consolidative tone for the last three days after Friday’s 4% rebound. The first-ever meme coin is losing retail interest as DOGE derivatives volume drops, while on-chain data shows early signs that large-wallet investors, commonly referred to as whales, are expanding their holdings.

Week ahead – ISM services PMI and Fed Minutes to shake Fed hike bets

The US dollar is finishing the week on the back foot against most of its major counterparts this week, losing the most ground against the kiwi, the franc and the pound. Despite the pullback, investors remained adamant in their view that the Fed may have to press the rate hike button before the turn of the year.

Kevin Warsh offers no policy clues: Why markets still got their answer

Financial markets came to Sintra looking for clues about the Federal Reserve's (Fed) next move. They largely left with confirmation that Fed Chair Kevin Warsh intends to make those clues much harder to find.