Technical Analysis Gold for 8/18/15

Gold prices moved higher on Monday and gain traction in the wake of the weaker than expected Empire Manufacturing Report.  The dollar lost ground allowing the yellow metal to continue to move higher as yield differentials weighed on the greenback.

Prices are poised to test resistance near former support at $1,150, while short term support is seen near the 10-day moving average at $1,103.  Momentum is positive with the MACD (moving average convergence divergence) index recently generating a buy signal and printing in the black with an upward sloping trajectory.  The RSI is also moving higher with price action reflecting accelerating positive momentum while printing a reading of 51, which is in the middle of the neutral range.