Gold Price Prediction for August 10, 2017

Gold prices surged higher rising 1.6% and breaking out as rhetoric from Trump warning North Korea of “fire and fury” boosted safe haven assets, driving stocks and yields lower.  The yellow metal received a bid, as North Korea retaliated with comments that it would attack Guam if tensions increased.  While the dollar initially has a bid early in the trading session, it lost ground to the Euro paving the way for higher gold prices.

Gold Prices Break Out

Gold prices broke out slicing through a downward sloping trend line and the July highs at 1,274, which is now seen as short-term support. The next level of target resistance on the yellow metal is seen near the June highs at 1,296. Momentum has accelerated higher, as the MACD histogram shows an upward sloping trajectory which points to higher prices for the yellow metal.