Gold back on the upswing
Gold nearly touched $1300 on Friday before turning lower after non-farm payrolls and the comments from Powell.
It's climbing higher again to start the week, up $7 to $1292 and rising as high as $1295 today.
Gold is overbought on some metrics after a 10% rally in the past seven weeks but it's benefitting from falling rates and uncertainty. The market has soured on the US dollar but it's not exactly sure what to buy, so gold is getting some love. There's also a powerful seasonal tailwind into lunar new year holidays.
The climb above the 61.8% retracement of the April-Aug decline is positive but it's not the clearest delineation. There's a cluster of resistance here starting at $1300 and up through the late-May high of $1309. If that breaks, it could be a quick return to $1365.
