Bulls stay hopeful for above $1800 despite gold dipping below
Gold prices have receded to below $1800 from $1813.40 after a three-day winning streak.
Gold prices eased from one week high to $1797 amid late Thursday night in South Africa. The bullion marked consecutive third positive daily closing the previous day.
However, sluggish moves portray traders’ indecision. The pattern joins the quote’s recent failures to refresh monthly high in suggesting the underlying weakness of the bullish momentum.
As a result, the bears seek fresh entries targeting $1800-$1795 support area. However, any further weakness by the yellow metal will divert the bears towards 1 July top near $1789.
It should also be noted that the Gold price weakness past-$1789 might not refrain from attacking the early-June peaks near $1745. On the contrary, the monthly top, also the multi-year high, around $1818 acts as an immediate resistance, a break of which could escalate the bullion’s north-run towards peak surrounding $1840, last achieved on 30 August 2011.