MARKET OUTLOOK for GOLD/TRADE CALL

Risk Events

UK GDP

Summary

With the trade war quietening down especially after US and Mexico manage to avert another 5% increase in tariffs , we see some improvements in risk sentiment.

XI’s comments over the weekend that Trump remains a friend gives some hope that further worsening of the trade war may not happen.

However the trade war is far from over but there is some temporary relief.

GOLD(1327.80)

Recommendation : range 1320/1335 with downside bias

Resistance : 1330/ 1338 / 1340

Support : 1320 / 1315/1310

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TRADE CALL

GBPUSD(1.2704)

Buy gbusd with a stop 1.2660 and a target of 1.2760 or 1.2810

Fundamental analysis

With usd weak as expectations of a US cut increase we expect some recovery in the Gbpusd despite Brexit.

Technical analysis

Seeing potential for a bounce higher with oversold conditions supported by 100 period MA and oversold stochastics.

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Disclaimer : Any data and information provided is for the sole purpose of assisting traders to make independent investment decisions and is not intended for trading purposes or advice. Goldfx Investment Co Ltd will not accept liability for any loss or damage.

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