Gold as a defensive asset this year has an increased popularity among investors. After the fall during the last year, for almost 30% the traders started the year with a bullish mood. Interest in gold is heated by the uncertainty about the future growth on the stock markets and the possible abolition of restrictions on the import of gold in India, which is the second largest consumer of gold in the world. In recent days, the rise of gold prices was supported by a decrease of the U.S. dollar.
Among the negative factors for further growth we should mention a slowdown in China, which is the largest consumer of gold. At the same time the production of metal in the world is steadily increasing.
From a technical point of view, for the continued growth, the price should gain a foothold above the level of $ 1,330 per troy ounce. Closest target will be at 1360. Support is at 1310.
Wish you the profits!
FXFINPRO Capital Analytical department.