Gold falls back to near unchanged levels on the day
Haven flows are receding on the session with bonds also slipping and gold is experiencing the same fate as well as price falls back to near session lows currently around $1,525.
Of note, price is moving towards a test of the 50.0 retracement level as buyers lose further momentum following Trump’s remarks on trade with China earlier.
For gold, the outlook remains more positive in the long-term but short-term pullbacks like the one today will be more frequent amid ongoing back-and-forth in the trade rhetoric.
However, with central banks globally still set to ease monetary policy further, there is good reason for buyers to continue buying the dip in such circumstances.
For the time being, as long as price holds above the key hourly moving averages closer to $1,509, then the near-term bias remains more bullish for gold. I reckon buyers will be leaning closer to those levels again before stepping in for a move back to the upside.