Via a note from Credit Suisse (this in brief), gold outlook:
- Gold continues its expected consolidation following the move to our base case objective of $2075/80.
- Whilst we continue to see the long-term trend higher, reinforced by falling US real yields and a falling USD, our immediate bias remains for further consolidation above a cluster of supports at $1887/37, which includes the 23.6% retracement of the rally from the 2018 low. Should weakness extend, we would see scope for a deeper setback to $1765, potentially $1726.
- We look for an eventual move above $2075 with resistance seen next at $2175, then $2300.
- Whilst we would look for a fresh consolidation at this latter level, a direct break can see potential trend resistance at $2417, with scope seen for $2700/20 over the longer-term.
