Gold Firms Up From $1,200 Threshold
Gold has been surfing on an uptrend in early Asian trade on Tuesday, bouncing back strongly from the three-and a-half-month low of $1,199.00. Mounting concerns about the upcoming rate hike by the Federal Reserve and the UK’s uncertain position in the EU have overshadowed the stock market, pushing Asian shares to the verge of monthly losses. As a result, investors have shifted interest towards gold, which is considered as a safe haven asset, especially after the precious metal fell below $1,200. On the hourly chart, RSI (14) rocketed to 60.7880, signaling that an up-move may be on the way. ADX mounted up to the level of 26.0348, along with DI+ staying above DI-, suggesting rising bull power. The commodity is anticipated to ascend further.
Buy stop at 1213.65, Take profit at 1216.16, Stop loss at 1210.72