Gold: Daily pattern looking increasingly like a bullish triangle – CitiBank


Analysts at Citibank upgrade average gold prices to $1,710/oz for the second quarter and lift their  2020 baseline from $1,640/oz to $1,680/oz. They are concerned about the extraordinary divergence between record strong investor demand for gold and a record weak retail bid.

Key Quotes:

“We think prices are more likely to make a slow grind higher but generally hold a $1,600-1,700 handle, rather than quickly spike to the $1,850-1,950 area. In turn, a global growth and EM recovery in 2021 could be what supports the next leg higher towards $2,000/oz.”

“The daily pattern for gold is now looking increasingly like a bullish triangle. On monthly chart, a picture similar to 2008-2011, pull back before it went higher again. Good resistance is met around $1,800, with support at $1,682-1720.”

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

AUD/USD drops back towards 0.7100 amid fresh US dollar buying

AUD/USD is under pressure, heading towards 0.7100  amid broad US dollar strength. Risk sentiment sours on US stimulus woes and virus contagion, lifting the safe-haven dollar. Focus remains on US stimulus news, coronavirus stats. 

AUD/USD News

USD/JPY picks up bid in tandem with US dollar, eyes on 105.00

USD/JPY's recovery from Wednesday's 0.85% decline is picking up pace in Asia, as the US dollar gains its feet amid risk-aversion. The reports that the BOJ will likely cut its growth and price forecasts for the current fiscal year at this week's monetary policy meeting weigh on the yen. 

USD/JPY News

Gold: $1883 is the level to beat for the bears

Gold is under pressure starting out a fresh week, battling $1900 amid resurgent haven demand for the US dollar. The greenback regains ground on Monday, as the second wave of the coronavirus accelerates at full steam in Europe.

Gold News

WTI hits three-week lows below $39

WTI hits three-week low, extending the previous week's 3% decline. The daily chart indicators scope for further losses. The daily chart relative strength index now shows an ascending triangle breakdown, a bearish pattern.

Oil News

Forex Today: Sentiment could take a turn to the worse amid coronavirus explosion

The American dollar remained under selling pressure at the end of the week, amid political jitters in the US. Republicans and Democrats have continued to discuss a coronavirus stimulus aid package.

Read more

Forex MAJORS

Cryptocurrencies

Signatures