Gold: Rallies cannot be ruled out - Natixis

Rally in gold prices cannot be ruled out as the daily stochastic is close to the oversold territory, according to Micaella Feldstein, Research Analyst at Natixis.

Key Quotes

“Yet, a return above the resistance at 1287-1292 (daily Bollinger upper band) sounds tricky in the next few days.”

“The weak daily volatility and the turnaround of the weekly stochastic should indeed prevent the Gold from recovering markedly and we fear a new wave of decline. We’ll watch out  the 1248 support (weekly Bollinger moving average) whose break would provide fresh bearish impetus to 1230 (monthly Bollinger moving average) and 1214 (weekly parabolic).”