Gold price rises to new multi-year high on fresh risk aversion
Spot gold jumped to new over eight-year high on Monday, following break of psychological $1700 level and former high at $1703 (posted on 9 March).
The yellow metal was up 1.36% for the day so far, extending Friday’s 2.37% advance.
Fresh risk aversion in the market on strong fall of US stock indexes boosted demand for safe-havens and lifted gold price.
Full retracement of deeper $1703/$1451 correction signals continuation of larger uptrend since end of 2015.
Break above $1700 zone pressures pivotal barrier at $1714 (Fibo 76.4% of $1920/$1046 fall, with stronger bullish acceleration to expose target at $1795 (Oct 2012 high).
Res: 1711; 1714; 1750; 1795
Sup: 1703; 1700; 1690; 1675
