Gold hit a brand new all-time excessive on October 31 as the result of subsequent week’s elections stays extremely unsure and demand for protected havens continued. The uptrend may be very sturdy, however at the moment doesn’t look like as overheated as within the second quarter. The worth areas between the key shifting averages have typically not grown considerably in current weeks, though the sluggish stochastics present a transparent overbought sign.
The plain long-term goal is $3,000, a spherical quantity that coincides pretty carefully with the month-to-month Fibonacci extension of 161.8%. It could take a while for the value to achieve this level: at the moment, within the quick time period, gold seems weak to a better-than-expected NFP on November 1, a state of affairs that appears fairly seemingly given the low consensus for the general non-farm sector.
Based mostly on final week’s strikes, $2,715 is a doable near-term help level. The 20 SMA will arrive there in a number of days. $2,640 round Bands’ 50 SMA can also be thought of help. For now, it appears extremely unlikely that there will likely be a return to the 100% month-to-month Fibonacci enlargement round $2,545, however that could possibly be doable subsequent week if the NFP is robust and within the unlikely state of affairs that Donald Trump pulls off a very stable win.