Gold Price Prediction for October 13, 2017
Gold prices were higher on Thursday but formed a doji day where the open and the close were at the same level. Prices were initially buoyed following Wednesday Fed minutes, but the stronger than expected PPI data released on Thursday buoyed the greenback, which weighed on the yellow metal. Support is seen near the 10-day moving average at 1,280. Resistance is seen near the September 25, highs at 1,313.
Momentum has Turned Positive
Momentum on gold has turned positive as the MACD (moving average convergence divergence) index generated a crossover buy signal. The occurs as the MACD line (the 12-day moving average minus the 26-day moving average) crosses above the MACD signal line (the 9-day moving average of the MACD line). The index moved from negative to positive territory confirming the crossover buy signal. The MACD histogram is printing in the black with an upward sloping trajectory which points to higher prices.