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Gold Forecast Bullish, but This Factor Limits Our Enthusiasm

ssi_GOLD_body_Picture_12.png, Gold Forecast Bullish, but This Factor Limits Our Enthusiasm

GoldWe’re seeing evidence of a major turnaround in the US Dollar versus the Euroand Japanese Yen. Yet the same doesn’t extend to Gold as indecisive price action gives little reason to call for a larger turn.

Trade Implications – Gold: Retail forex traders remain almost exactly neutral Gold prices versus the US Dollar, and our Gold technical forecast remains cautiously bullish as long as the metal remains above $1317. Yet we’ll have to see a more substantive turn in sentiment to have a stronger trading bias through the foreseeable future.

Written by David Rodriguez, Quantitative Strategist for DailyFX.com

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