After closing the previous week marginally higher, the yellow metal started this week on a strong note and recorded steady gains to touch highest levels since April 2018 at $1327.50 per ounce. Although market sentiment seems to have improved amid rising hopes for this week's talks in Washington to lead to a final trade deal following President Trump's optimistic tweet over the weekend, Gold didn't have a difficult time finding demand. The Brexit saga alongside a bearish Dollar, are the reasons why investors are turning to the precious metal again.
Gold prices continued their upward move climbing to new highs at $1327.5 following a break of the $1326.2 resistance level. The price is currently settling just above resistance with more room to go before we enter into the overbought state. We expect another surge before a correction so we will be focusing on the $1331.48 resistance level.
Support: 1307.09 / 1303.07
Resistance: 1312.38 / 1316 .78