Gold is mildly bid in Asia at $1,326, courtesy of rising fears of the trade war, however, the 15 March Gold Price Technical Forecast shows that the precious metal is still stuck in a weeklong trading range of $1,330-$1,310.What is more?
15 March, GKFX – The multiple daily candles with long shadows indicate the metal will likely witness an upside break of the trading range. The technical set up gels well with the current environment of global trade woes and the resulting risk aversion in the stock markets.
That said, the options market is biased bearish. The one-month 25 delta risk reversals are being paid at 0.2 XAU puts (sell gold) vs. 0.2 XAU calls (buy gold) on March 7.
Meanwhile, the 12-month risk reversals have also retraced major chunk of XAU call bias. The risk reversals are being paid at 0.375 XAU calls vs. 0.70 XAU calls on Feb. 16.
15 March Gold Price Technical Forecast
A break above $1,332 (50-day moving average) would expose $1,330 – upper end of the trading range. An upside break would put the bulls back in the driver’s seat and allow a stronger rally to $1,366 (Jan. 25 high). On the downside, breach of support at $1,320 (lower end of the trading range) could yield a pullback to $1,309 (100-day MA) and $1,300.
This article 15 March Gold Price Technical Forecast was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.
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