Sunday 13 November 2016

Gold: Disturbed By The Sound Of Populism

Running through the memory of 2016 Gold is seen on the street of dreams. Lows, highs, runaways. Brexit case elevated the spirit and affected positively to the forever safe-heaven commodity. But now Trump’s victory set another brick in the wall and Gold parted with the $1300 levels.
During the past week the yellow metal is down with 6%. The initial enthusiasm lifted up the rate, but now it seems that the tale was not right and a dramatic reversal followed.
Current the price is placed at $1226. Applying the retrospective 2016 upside movement, first support is seen at 50% Fibo retracement $1223 and second is lying at May’s $1198. Looking to the upside $1284 is a key level that might relight the bulls power.
Indicators readings are indicating oversold market and showing lack of momentum.  


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