Gold spot ended the day around $1,237 an ounce, recording a 1.19% gain on Monday and over 10% over the month.
Gold technical outlook
“From a technical point of view, the bullish stance prevails, as the price recovered strongly after testing a bullish 20 SMA early Monday, currently a strong dynamic support at 1,216.50. In the same chart, the technical indicators have erased all of their overbought readings, and the Momentum indicator turned lower around its mid-line, still unable to confirm further gains,” said Valeria Bednarik, chief analyst at FXStreet. “In the shorter term, the 4 hours chart, the technical picture is neutral, given that the price is hovering around a horizontal 20 SMA and the technical indicators head nowhere around their mid-lines”.
Support levels: 1,226.10 1,216.50 1,202.05. Resistance levels: 1,242.30 1,251.90 1,260.00.
(Market News Provided by FXstreet)