Gold Prices Seem Unlikely to Hold Lows
Trade Implications – XAUUSD: Gold prices have bounced off of former congestion support, but the overall trend favors further declines. It is worth noting that Bloomberg data shows total Gold ETF holdings worldwide have fallen approximately 4% from their December peaks, while CFTC Commitment of Traders data shows that Non-Commercial long interest in Gold futures has tumbled 40% from all-time highs. Signs favor continued weakness.
--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.