XAU/USD May Rise as Retail Traders Become Bearish
<p> <br />
</p>
<div>
<article>
<h2>Gold, Retail Trader Positioning, Technical Analysis – IGCS Update</h2>
<ul>
<li><span>Gold prices</span><span> extend recent push higher to trendline</span></li>
<li><span>Retail traders are becoming slowly more bearish</span></li>
<li><span>Will XAU/</span><span>USD</span><span> push higher in the coming sessions?</span></li>
</ul>
<div>
<div>
<p>
Recommended by Daniel Dubrovsky
</p>
<p>
Get Your Free Gold Forecast
</p>
</div>
</div>
<p>Gold prices have been aiming higher in recent weeks. In response retail traders have been cautiously increasing downside exposure. This can be seen by taking a look at IG Client Sentiment (IGCS), which often functions as a contrarian indicator. With that in mind, could further upside progress be in store for the yellow metal in the coming sessions?</p>
<h3>Gold Sentiment Outlook – Bearish</h3>
<p>The IGCS gauge shows that about 75% of retail traders are net-long gold. Since most of them are biased to the upside, this hints that prices may continue falling down the road. Meanwhile, downside exposure has increased by 23.58% and 26.59% compared to yesterday and last week, respectively. With that in mind, recent changes in positioning hint that the price trend may soon reverse higher despite overall exposure.</p>
<p><img decoding="async" loading="lazy" src="https://a.c-dn.net/b/19Nuf6/image1.png" alt="Gold Sentiment Outlook – Bearish" data-image-original-width="1800" data-image-original-height="1200" width="1800" height="1200" class="dfx-lazyload" style="padding-bottom: calc(1200 / 1800 * 100%);" /></p>
<h3>XAU/USD Daily Chart</h3>
<p>On the daily chart below, gold has extended a cautious push higher above the 38.2% Fibonacci retracement level of 1903.46. That is now placing the focus on the falling trendline from earlier this year. The latter could reinstate the broader downside focus, pushing XAU/USD back to the mid-August swing low of 1884.89.</p>
<p>Otherwise, clearing above the falling trendline, as well as the 1936.90 inflection zone, exposes the 23.6% level of 1971.63 as key resistance. Extending gains beyond that could open the door to revisiting the 2048.79 – 2081.82 resistance zone.</p>
<div>
<div>
<p>
Recommended by Daniel Dubrovsky
</p>
<p>
How to Trade Gold
</p>
</div>
</div>
<p><img decoding="async" loading="lazy" src="https://a.c-dn.net/b/0yP4OI/image2.png" alt="image2.png" data-image-original-width="1475" data-image-original-height="763" width="1475" height="763" class="dfx-lazyload" style="padding-bottom: calc(763 / 1475 * 100%);" /></p>
<p><span>Chart Created in Trading View</span></p>
<p><span>— Written by Daniel Dubrovsky, Senior Strategist for DailyFX.com</span></p>
</article>
</div>
<p> element inside the <body> element. This is probably not what you meant to do!<br />
Load your application’s JavaScript bundle inside the <head> element instead.<br />
<br /><br />
<br /><a href="https://www.dailyfx.com/analysis/gold-price-outlook-xau-usd-may-rise-as-retail-traders-become-bearish-20230828.html">Source link </a></p><p>The post <a href="https://forextraderhub.com/xau-usd-may-rise-as-retail-traders-become-bearish.html">XAU/USD May Rise as Retail Traders Become Bearish</a> first appeared on <a href="https://forextraderhub.com">Forex Trader Hub</a>.</p>
Leave a Comment