. Gold remains below the $1860 – level, amid light trading

Gold remains below the $1860 – level, amid light trading

31 May 2022

The price of COMEX Gold futures price is up 0.08% at $1858.7 per troy ounce on early-Monday trades.

Gold price, this week, opens on a positive momentum supported by the holiday-thinned market conditions. The US dollar is seeing a dip-buying demand, despite the risk-on trading in global stocks. Investors continue examining the easing COVID situation in China and subsiding aggressive tightening bets of the Federal Reserve against signs of slowing in the US economy. Gold price, therefore, is seen fluctuating between gains and losses while defending the $1860 barrier.

The EU summit on Ukraine crisis is closely followed, as Russia’s oil embargo is likely to be part of the EU’s sanction package. These developments could affect the broader market sentiment, significantly impacting the dollar and consequently the price of gold.

On the technical side, the RSI of COMEX gold futures stood at 48.33 and is currently trading above MA (05) and MA (20) but below MA (50). So, BUY position can be taken with the following target and stop-loss:

TRADE SIGNAL: COMEX GOLD FUTURES – BUY: 1865, TARGET: 1895, AND STOP-LOSS: 1845