Technically, Gold Bull scenario to start around $1282/ oz, invalidation level $1239, bull has room to run up to $1440/oz until mid August 2018.
Fundamentally, The rising trade war tension between USA and China will put upside pressure on gold as still gold is a safe haven, in addition to what the media doesn't want you to know is that such trade wars can send inflation higher in the coming period.
basically, taking into consideration the negative correlation between the gold price and the U.S stock market main index (S&P500) which closed for the first time below the 200 Days Moving Average for the first time since 2012 which was the first serious bear signal since then, this can play a positive role for the yellow metal as well since the S&P still has room to fall to as low as 2360 points in the second quarter of this year with still several rates hike expected by the Fed.
Fundamentally, The rising trade war tension between USA and China will put upside pressure on gold as still gold is a safe haven, in addition to what the media doesn't want you to know is that such trade wars can send inflation higher in the coming period.
basically, taking into consideration the negative correlation between the gold price and the U.S stock market main index (S&P500) which closed for the first time below the 200 Days Moving Average for the first time since 2012 which was the first serious bear signal since then, this can play a positive role for the yellow metal as well since the S&P still has room to fall to as low as 2360 points in the second quarter of this year with still several rates hike expected by the Fed.