International spot gold was at $1,722.32 an ounce in Asian trading on Monday. The last trading day gold price trend shock, finally with a small negative line closed down, the day gold is to maintain a small shock retracting trend, the day is currently down 0.28%.
The previous session’s spot gold sub-session opened at $1,729.81 an ounce, rose as high as $1,766.40 an ounce, and dipped as low as $1,709.40 an ounce to close at $1,727.68, down $2.82, or 0.16 percent. It ended the week up 2.58 per cent.
Meanwhile, COMEX gold futures for June ended down 0.56 percent at $1,755.60 an ounce, down $9.8 from the previous day, after rising about 2.2 percent last week.
Analysts at Goldman sachs said in a note that they kept their recent price targets of $70 a tonne for iron ore, $4,400 a tonne for copper and a 12-month target of $1,800 an ounce for gold, citing risk aversion and high demand for defensive assets.
“My general view is that many markets are moving into consolidation territory to absorb and consolidate the big moves of the past two months,” said Colin Cieszynski, chief market strategist at SIA Wealth Management.
Kevin Grady, President of Phoenix Futures and Options, said he was bullish on gold. Gold tends to resist any attempt to sell, he notes, and the massive global money printing will eventually push gold above $2,000.
Charlie Nedoss, the senior market strategist at LaSalle Futures Group, expects gold to test its recent high if it closes above $1,734 for June delivery.
Richard Baker comments that gold’s recent strength is impressive because it can stay strong even as the dollar strengthens.
Sean Lusk, co-head of commercial hedging at Walsh Trading, also expects gold prices to rise, but added that there could be some profit taking ahead of the U.S. non-farm payrolls report for April. If gold stabilises above $1,750, it could rise to $1,800 in the future.
George Gero, managing director of RBC Wealth Management, also expects gold to strengthen, but the market will be volatile as options expire in May. That could prompt traders on both sides of the market to unwind their positions, he explains.
On the daily chart, the dollar index after a modest rebound slightly under pressure, the MACD red momentum column unchanged, the KDJ random index turned lower, indicating the dollar pullback momentum ready to move, then or continue to fall.
On the 4-hour chart, the dollar index continued to retreat from its highs, the MACD green momentum column slightly expanded, the KDJ random index further lower, indicating that the dollar will continue to decline short term.
On the daily chart, gold shock bounced back to recent highs after some decline, the MACD red momentum column narrowed, but the KDJ random index moderately higher, indicating gold momentum mixed, may be in a period of volatile consolidation.
On the 4-hour chart, gold prices maintained a narrow range of pressure trading, MACD green kinetic energy column looming, KDJ random index moderate pressure, indicating that gold short term may continue to carry out pressure retreat trend.
fundamentals Positive factors:
- According to statistics from real-time information and data update website worldometers, as of 10:03 Beijing time on April 27, there were over 980,000 confirmed covid-19 cases, 987,160 cases, and 55,413 deaths in the United States.
- Sana reported that Syrian air defense systems intercepted enemy targets over Damascus and that Syria shot down several Israeli missiles.
- According to the information released by the Russian defense ministry, a total of 874 active-duty soldiers were confirmed with COVID-19 after intensive virus testing from march to April 26, of which 4 were seriously ill. In addition, a total of 971 teachers and students were confirmed at military academies under the ministry of defence.
- Members of the U.S. house of representatives, meeting in Washington on Thursday, voted to pass a $484 billion novel coronavirus relief bill, including $310 billion for a payroll protection plan (PPP). That brings the total approved for the crisis to an unprecedented nearly $3 trillion. The bill will be sent to President trump for signature.
- Data from the labor department on Thursday showed new claims for state unemployment benefits totaled 4.427 million last week, compared with expectations of 4.2 million. The previous reading was revised down to 5.237,000 from 5.245,000. Adding in the four previous reports, the number of americans claiming unemployment benefits in the past five weeks was 26.45 million. That’s more than the 24.442 million nonfarm jobs created since November 2009, when the economy began adding jobs again after the great recession.
Fundamental negative factors:
- The news of the health abnormality of the supreme leader of the DPRK, Kim jong-un, has been closely watched by the outside world. South Korean President moon jung-joon responded on April 26 that Kim jong UN is alive and well. He said Mr. Kim had been in wonsan in gangwon province since April 13 and that no suspicious movements had been detected.
- According to statistics released by the Italian civil protection department on October 22, there are 107,699 new crown patients in Italy, 10 fewer than the previous day and the third consecutive day of decline. A total of 54,543 cases were cured, 2,943 more than the previous day, and the number of cases cured in a single day reached a new high since the outbreak began.
- The first novel coronavirus vaccine was approved to enter clinical trials by the German federal institute of vaccines and biologicals Wednesday. In the first phase of the trial, 200 healthy volunteers between the ages of 18 and 55 will be given a slightly modified version of the vaccine, the institute said in a statement on the same day. The second phase will vaccinate other volunteers in the same age group, including vulnerable people.
- President trump said on Tuesday that the hospital ship comfort, deployed in New York, would leave the city “in preparation for the next mission.” The comfort is being used to provide emergency assistance to health workers fighting the coronavirus. “There is light at the end of the tunnel,” trump said of the COVID 19 outbreak.