Gold continues to climb, notching up prices last seen in June of last year. The precious metal is positioned between its upper blue and red bands on its daily chart. This is its bullish channel. Its daily stochastic has crossed above 80 (green rectangle). Maintaining these levels will imply that a bullish underlying momentum is present and the greater the prospect for higher prices. Gold's strength corresponds with dollar weakness and a more moderate path for Fed interest rate hikes. This year also holds a fair amount of uncertainty, which will make gold attractive given its haven status.
Senior Market Specialist
Russell Shor joined FXCM in October 2017 as a Senior Market Specialist. He is a certified FMVA® and has an Honours Degree in Economics from the University of South Africa. Russell is a full member of the Society of Technical Analysts in the United Kingdom. With over 20 years of financial markets experience, his analysis is of a high standard and quality.