The bars on the Commitments of Traders chart are stretching outwards again but there is room to extend out further which would correspond to gold price inching a bit higher. However, the candlestick chart shows how price has violated the upper standard deviation band and needs to check back at the middle band at 1285 and rising.
Note how gold price keeps battling the 200-day MA ever since it first threatened to spike above back in late February 2017. Therefore, if price retreats back to the middle band area at 1285-1295, a ride down to the 200-day MA at 1274 would be prudent. That way, gold can decide once and for all if it wants to remain above the 200, or not.
The 20-month MA support is 1273. The 20-week MA is 1293. The 50-week MA is 1269. There is a confluence of support for gold at 1269-1274. Gold bulls are okay above this area but the gold bears will have the knives out if the yellow metal moves below 1269.
This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.
Note: The COT chart is available from COT Price Charts and annotated by Keystone.
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