Gold finished Friday trading fairly steady growth amid reports that the Chinese delegation left Washington ahead of schedule. Later, Donald Trump said that for the conclusion of a comprehensive trade agreement is not enough to increase the volume of purchases of agricultural products from the United States. Parties will need to address a number of other important issues, without which it is impossible to conclude a trade agreement.
Hopes for an early signing of a trade agreement between the US and China once again vanished, and many investors have begun to actively buy gold in an attempt to diversify their risks.
Today, precious metal retains bullish momentum movement. The latest news about issues in the trade negotiations between the US and China, as well as the US and Japan point to a further deterioration of the situation in international trade.
Later, the focus of investors will be preliminary data on PMI manufacturing and services sectors in the US and Europe. Weaker performance may increase investors' interest in gold amid slowing economic activity in key regions of the world.
In the graph continues trading in a horizontal channel 1485.00-1523.00. Now within the outset develops the bullish wave. In the case of the breakdown level can be expected 1523.00 quotations further growth in the direction of annual maximum, in the mark 1555.00.
Levels of resistance: 1523.00, 1545.00, 1555.00;
Support levels: 1500.00, 1485.00, 14550.00.
The main scenario - growth in the direction of the level of 1523.00 and an attempt to gain a foothold above this mark.
Alternative Scenario - price decline from current levels to the level of 1500.00.
The fundamental background remains moderately positive. In the graph locally prevail bovine signals. Preference is given to short-term purchases, which should be considered near the level of 1500.00.
Gold analyst FORTFS