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Gold prices declined moderately today , while fixing its fifth session decline in a row ( the longest series in seven months ) , as rising stock markets dropped interest in precious metals . In addition, market participants expect announcement of the outcome of the ECB meeting and the publication of key U.S. data .
Gold continues to decline after last week as prices remain below the key support levels , showing bearish signals on the chart. Last week, prices fell by 3.53 %. May the price of gold fell by 3.9% , the largest monthly decline since November.
Precious metal is under heavy selling pressure lately as investors predict high rates of economic growth in the U.S. in the second quarter .
" The technical outlook for gold is unfavorable . Are likely to drop to $ 1230, and then to $ 1,200. Physical markets reacted poorly to a fall in prices last week, but if they reach $ 1,200 , may be increased activity, " - said a trader in Tokyo.
Buyers in the physical market waiting for further decline in prices. In India , which occupies the second place in the world for the consumption of gold, ">The data also showed that last week, hedge funds and money managers cut their bullish bets in gold futures and options to the lowest level in nearly four months, which is another sign of decline in investor interest in the metal.
The cost of the June gold futures on the COMEX today dropped to $ 1245.5 per ounce.
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