Gold price continued to push lower in the second half of the day on Monday and broke below $1,775. Following the upbeat ISM Services PMI report from the US, the benchmark 10-year US Treasury bond yield is up more than 2%, forcing yellow metal to stay under bearish pressure.
Macro headwinds are unlikely to relent in coming months
“We see signs of buying exhaustion in Gold, but a notable consolidation in prices will be needed before CTA trend followers spark renewed outflows.”
MCX Natural Gas Tips For Today: 483 to 497.40, Profit 35,000: Gold Slip below $1,775 as US Yields Push Higher MCX Crude Oil Tips For Today: 6605 to 6772, Profit 33,400 in 2 Lots: Gold Slip below $1,775 as US Yields Push Higher“At this juncture, positioning risks are no longer tilted to the upside, as a rally north $1,830 only points to marginal CTA buying from current positioning levels. This suggests that the pain trade in precious metals may finally be running out of steam, setting the stage for an epic bull-trap in precious metals, as the recently strong price action attracts discretionary interest in the complex, whereas macro headwinds are unlikely to relent in coming months.”
