GOLD 1 OZ (XAU=X) struggling to make gains
The gold market remains on the back foot, struggling to make gains despite little change in an update reading of the U.S. economy.
Wednesday, the second preliminary reading of U.S. Gross Domestic Product showed that the economy grew 3.5% in the third quarter, unchanged from the previous estimate. The headline numbers were slightly weaker than expected as consensus forecasts were calling for an increase to 3.6%.
U.S. economic data is having little impact on gold prices, as the market continues to be dominated by U.S. Dollar momentum. December gold futures last traded at $1,213.30 an ounce, nearly flat on the day.
Overall, the bias in prices is: Sideways.
The projected upper bound is: 1,246.35.
The projected lower bound is: 1,199.02.
The projected closing price is: 1,222.68.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 25 white candles and 25 black candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 36.9487. This is not an overbought or oversold reading. The last signal was a sell 4 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 52.37. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 73 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 26. This is not a topping or bottoming area. The last signal was a buy 10 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 5 period(s) ago.
Rex Takasugi – TD Profile
PREC.M.XAU= closed up 8.000 at 1,222.310. Volume was 8,900% above average (trending) and Bollinger Bands were 14% narrower than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 1,221.34 1,214.45 1,258.92
Volatility: 8 12 12
Volume: 1,607 321 80
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
PREC.M.XAU= is currently 2.9% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect very strong flows of volume into XAU= (bullish). Our trend forecasting oscillators are currently bearish on XAU= and have had this outlook for the last 11 periods.