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 have had a volatile ride these past several days. Prices have surged $50 / £1.29 since 1 July only to lose these gains by 5 July. Light trading volumes amid the U.S. holiday on 4 July and technical buying pushed prices higher initially. Prices retreated some shortly thereafter, but really lost ground on better than expected jobs numbers for the U.S.
There remains a whole host of exogenous issues that could easily spur another run up in prices, but these may already be factored into the gold price. Gold has not been able to keep the gains made every time it surges above $1,400(oz) / £36.01(g), because profit-taking quickly emerges.
Note: Discretion should be allowed at +/- $0.50 from the target.