On Friday, gold closed on a negative territory, after data from US retail sales were below expectations and this decreased the possibility of hikes interest rates in the US to 9%
Although last week the precious metal fell with $ 1.2, at a price $ 1,334 , prospects are for an increase.
The worries about the slowdown in China's economy, bad economic data from the UK, after the vote to leave the EU and the frequent terrorist attacks may indicate a rise in gold.
At the momment the price is at horizontal and diagonal support.
CCI(50) is above 0 and we may look for a rise
Price is above 50, 100 and 200 MA
Current levels are suitable for long positions after a correction around $1334
Economic data that will have an impact on the precious metal this week:
1. FED's meeting on Wednesday
2. ECB meeeting on Thursday
3. Preliminary GDP from Japan on Monday
4. Unemployment rate, retail sales and CPI from Britain.
5. ZEW economic index from Germany
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.