FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
96,973,138Confirmed
2,074,354Deaths
69,514,440Recovered
Fetching Location Data…
Advertisement
Advertisement
James Hyerczyk

Gold futures are trading at their highest level since March 26 shortly after the regular session opening on Monday. The move is being fueled by concerns over a global recession caused by the coronavirus pandemic. A relatively flat U.S. Dollar is also helping to boost demand for the dollar-denominated asset.

At 12:43 GMT, June Comex gold futures are trading $1674.60, up $28.90 or +1.76%.

Advertisement
Know where Gold is headed? Take advantage now with 

75% of retail CFD investors lose money

Short-term, increased demand for stocks may actually be helping gold because it dampens the chances of market call selling, while freeing up funds to buy the precious metal. In other words, gold is being treated like an investment instead of a funding asset.

Longer-term, the tremendous amount of fiscal and monetary stimulus injected into the financial system recently is bullish for gold.

Daily June Comex Gold

Daily Technical Analysis

The main trend is down according to the daily swing chart, however, momentum is trending higher. A trade through the two tops at $1698.00 and $1707.80 will change the main trend to up. A move through $1576.00 will signal a resumption of the downtrend.

The short-term range is $1698.00 to $1576.00. Its retracement zone at $1651.40 to $1637.00 is new support.

Additional support zones come in at $1610.50 to $1580.40 and $1575.50 to $1546.60. Combining the two zones makes $1580.40 to $1575.50 a major support cluster.

Advertisement

Daily Technical Forecast

Based on the early price action and the current price at $1674.60, the direction of the June Comex gold futures contract the rest of the session on Monday is likely to be determined by trader reaction to the downtrending Gann angle at $1667.80.

Bullish Scenario

A sustained move over $1667.80 will indicate the presence of buyers. The next target angle is $1687.80. This is the last potential resistance angle before the $1698.00 and $1707.80 main tops.

Bearish Scenario

A sustained move under $1667.80 will signal the presence of sellers. This could trigger a break into a short-term Fibonacci level at $1651.40, followed by a short-term 50% level at $1637.00 and an uptrending Gann angle at $1624.00.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US