Gold is pushing lower. According to today’s, 5 December Gold Price Technical analysis, the technicals suggest a growing upside momentum.
5 December, Swissquote – Gold prices reversed on Monday, nearing a four-week low reached last week, in response to the stronger U.S. Dollar. The instigators behind the weakness were the approval of the tax overhaul plan and expectations of a Fed rate hike later this month. The return of volatility to the U.S. equity markets helped limit losses.
Today, investors will be opportuned to respond to U.S. Trade Balance and ISM Non-Manufacturing PMI. However, the focus this week will remain on U.S. tax reform and the Non-Farm Payrolls report come Friday.
5 December Gold Price Technical Analysis
• Gold is pushing lower. The technical structure confirms the end of the consolidation phase. Support lies at a distance at 1251 (08/08/2017 high). Resistance is located at 1288 (20/10/2017).
• In the long-term, the technical structure suggests that there is a growing upside momentum. A break of 1392 (17/03/2014) is necessary to confirm it, A major support can be found at 1045 (05/02/2010 low).
This article was written by Yann Quelenn, Market Analyst at Swissquote.
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