Gold is up 0.9% to $1,699 in trading today
The yellow metal is catching a bit of reprieve amid a weaker dollar as Treasury yields are seen on the retreat in European morning trade. That said, not much has changed in terms of price action and how things are playing out for gold at the moment.
Price is holding near $1,700 for now but is still keeping below both its key hourly moving averages i.e. near-term bias remains more bearish.
The 100-hour moving average (red line) @ $1,703 will be key to watch as it offers sellers a line of defense to also keep the lower lows, lower highs pattern running.
Despite buyers finding a bit of a relief today, the continued shedding of ETF positions suggest that gold could still be in for more pain in the short-term.
Unless that changes, the gold outlook is still shaping up to be rather gloomy as investor appetite just isn't there to prop up the yellow metal - at least not in a sustained manner.
As such, the FOMC meeting next week will be a key one to watch to see if that will spark any turnaround in gold interest (indirectly from the bond market/yields).
