GOLD started the week with a sharp jump to $5,400 (a monthly high) amid a flight to safety as the conflict in the Middle East escalated...
Escalation in the Middle East:
Trump said the conflict could last another four weeks. However, Trump's comments on Sunday managed to keep the market from worse consequences, and the situation turned out to be relatively restrained.
The situation as a whole is fueled by the position of the two sides, which categorically adhere to their positions.
Upcoming events:
Pentagon chief's press conference — new signals on escalation are possible.
US macro data takes a back seat to geopolitics.
Gold will remain in an uptrend as long as tensions in the Middle East persist. Correction after a sharp jump is a natural pause before the next move. Key factor: development of the conflict and risks of oil supply disruptions.
Resistance levels: 5420, 5445, 5543
Support levels: 5393, 5375, 5345
A false breakdown of support and the market holding above key levels could support further growth within the current distribution...