Gold showed some minor upward bias overnight, but remains rangebound. According to its daily MACD, gold was significantly overbought back in April after it broke out to hit a fresh all-time high of $3,500.
Gold pulled back sharply over the following three weeks. But for the last ten weeks it has consolidated in a relatively narrow range with resistance coming in around $3,450 and support around the $3,250 area.
Source: TN Trader
This has seen the daily MACD reset at neutral levels, leaving analysts broadly split between those anticipating another strong rally taking gold to new all-time highs, and those who believe that gold has already topped.
Silver was little-changed this morning, but with a slight upside bias. Traders seem reluctant to take on additional exposure until the Federal Reserve’s policy outlook becomes clearer.
With no significant catalysts to spark movement, these precious metals continue to fluctuate within well-established boundaries.
