Gold Prices Suddenly Suggest it’s Time to Sell
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XAUUSD – Retail FX traders are at their most heavily net-long Gold prices in over eight months, and a contrarian view of ‘crowd’ sentiment points to further XAU/USD weakness. A further b reak below key support near the $1,300 mark would help confirm a larger trend turnaround. And it will be important to watch how traders respond to Gold prices at the psychologically-significant price floor.
As long as retail FX traders continue to buy, we will continue to call for Gold price weakness.
See next currency section: S&P - US S&P 500 Looks at Danger of Turnaround
--- Written by David Rodriguez, Senior Strategist for DailyFX.com
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.