Gold rises further after rallying 2% on Friday
Gold keeps firm tone and trading near new two-month high at the start of the week, after rallying 2% on Friday, in the biggest daily advance since Dec 13.
The yellow metal surged after markets got a clearer picture about the US rate outlook, as the latest economic data added to growing expectations that the Fed would start cutting rates in June, making the gold more attractive for investors.
Friday’s marginal close above Fibo barrier at $2081 (61.8% of $2141/$1984) generated fresh signal, exposing targets at $2100/04 (psychological / Fibo 76.4%) guarding key barrier at $2141 (record high of Dec 4).
Bulls so far do not show signs of fatigue despite overbought daily studies, though some price adjustment should be anticipated in coming sessions.
Limited dips should be ideally contained at $2060 zone (former tops of Jan12 / Feb1) to keep bulls intact.
Res: 2100; 2104; 2115; 2141
Sup: 2080; 2062; 2050; 2044
