So last week I suggested gold was treading water looking for direction. Well a mighty push up of $22 on Friday seems to have confirmed it has found a positive direction, but will it continue?
On a technical basis there are issues as can be seen from the notes on the chart above. On a fundamental basis there are also other issues, strangely the fact that not only did gold finish the week higher, but also oil and stocks. The US$ did close a little weaker, but it still leaves an unanswered query.
That said, further concerns over Brexit in the UK, the on/off situation with the shut-down in the US and slowing global growth may offer support. Nevertheless, the flat bottomed kumo looks to have a lot of pull.