Opinion with Peter Hug
Gold Higher But Technical Confirmation Needed
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
(Kitco News) - Gold has found some short-term support on the back of news that the U.S.-North Korea summit may be delayed and a renewal of trade war jargon between the U.S. and China. It is difficult to discern what the reality is, as comments remain fluid. We have exited our long gold trade at $1,297 and prefer to wait for a break above the $1,302 level for confirmation that the uptrend has resumed. There is enough noise to prevent us from suggesting an outright short but the strong dollar and the technical damage to the charts once gold broke the $1,302 area remains a headwind to the upside. Prefer to have the market confirm a direction before taking a more aggressive position. Release of the FOMC meeting minutes at 2 p.m. E.T. today should create some volatility.