Gold trades on Monday, a slight decrease on the background growth of the major stock indices and reducing tension in international trade. At the weekend in Thailand ASEAN Summit was held. Participating countries have supported China's initiative to establish a regional trade agreement between the 16 countries of the Asia-Pacific region. Now the parties are close to signing the final agreement. In addition to the 10 countries of Southeast Asia must sign an agreement of China, India, Japan, South Korea, Australia and New Zealand.
At the ASEAN summit, also held a short meeting between the leaders of South Korea and Japan, where the parties have agreed to hold talks at the highest level to address the aggravated political and trade issues between the two countries.
Positively investors reacted to the statements and US Commerce Secretary Wilbur Ross that official Washington can not impose a 25 percent duty on European cars and spare parts in case of a positive conclusion of the negotiations, which will take place this week. According to Bloomberg the final decision on this matter will be taken before 14 November.
On the background prevalence of positive news, the demand for safe assets is reduced, which contributes to the development of the recoil movement of gold.
On the chart while trading in a range 1505.00-1515.00 pass. As part of this locally outset possible to expect reduction of quotations to the lower end of the range. Count on the continuation of the upward movement, targeting 1530.00 worth only after the price fixates above 1515.00.
Levels of resistance: 1515.00, 1530.00, 1540.00;
Support levels: 1505.00, 1480.00, 1475.00.
The main scenario - decline to 1505.00.
Alternative Scenario - consolidation above 1515.00 and 1530.00 to the medium-term growth
Locally, the market is dominated by a moderately negative news background. On the chart the price jumped down from the resistance at 1515.00. Near this level can be considered short-term sales
Gold forecast for today FORTFS