Gold prices rose to one-year highs on Monday, after North Korea posed new threats that it had conducted a test of a hydrogen bomb planned to be mounted on
In response to the fresh threat, the U.S President Donald Trump warned a massive military attack if the US or its allies will be threatened and added to cut off trade with any country that trades with North Korea.
Gold futures rose 0.44% to $1336.25 as of 8:00 GMT.
Technical View
Gold reached the resistance area which is a crucial technical level at $1345. It is likely to retest $1325 which is a support slope line. As per the previous outlook, prices rebounded from $1325 which is a profit booking area.
Gold Daily Chart
Gold Daily chart has formed the “Rising Wedge Pattern“ and continue to rally further on the same direction according to the pattern. An additional support holds at $1310. A further rally would be towards $1350-1362.
