Gold: Risk remains for a break higher – Commerzbank
In view of Karen Jones, analyst at Commerzbank, Gold’s price action continues to resemble a consolidation pattern.
Key Quotes
“We view this in a bullish light and would consider a close above the near term resistance line at 1515 as the precursor to a challenge of the 1557.29 4th September high.”
“Gold has previously completed a major base. This offers an upside measured target to 1690/1704 longer term. The recent low at 1459 is regarded as an interim low and together with the mid July peak at 1453 is expected to act as a short term floor for the market.”
“Below here lies the 55 day moving average at 1448.97 ahead of support offered by a double Fibonacci retracement at 1412/1406 (38.2% retracement of the move up from the August 2018 low) and 50% retracement of the move up from the May low).”
Author
Sandeep Kanihama
FXStreet Contributor
Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.
