Trade Recommendation 16th Sep

Timestamp (GMT)
16th Sep 16:35 £39.30g
Direction
Sell
Target Price / Range
£38.96g
Timeframe
16-20th Sep

These trade recommendations are brought to you by CPM Group.

Due to market conditions, the views and positions of trade recommendations can quickly change. We strongly advise you to monitor our published trade recommendations on an ongoing basis.

Gold prices reached an intraday high of $1,566.20 / £40.79 on 4 September, then dropped sharply to test $1,492.10 / £38.86 before recovering. While a lot of political and economic factors around the world continue which should be supportive of gold prices in the medium to long-term,  in the meantime on a short term basis gold prices could move somewhat lower. Trade issues remain, Brexit is approaching, and there has been a recent disruption to Saudi oil production. However, stock markets continue to rise, U.S. consumer spending remains firm, and economic data for the most part remains positive. A price drop below $1,490 / £38.80 could push gold prices to test $1,420 – $1,440 / £36.98 – £37.50 in the next week or two. Prices jumped sharply higher from $1,450 / £37.76 to above $1,490 / £38.80 in early August and this price gap could be filled should gold prices fall below support at $1,490 / £38.80.

Note: Discretion should be allowed at +/- $0.50 / £0.01 from the target.