Gold Soars to Highest Level in 74 Days
Gold prices rose by $41.20 or 0.93% on Monday to close at $4,473, marking its highest closing price in the past 74 days.
This development may signal that gold has more room for growth, but it's still yet to break above its current resistance level formed by the intraday high on June 17th at $4,473 and its 100-day simple moving average now at $4,481.
The precious metal did manage to open and close above its 23% Fibonacci retracement level at $4,435 for the first time. If gold can turn this into support, a break above current resistance is almost inevitable.
However, if it cannot hold above the 23% Fib. Level at $4,435, then the most likely path forward is sideways.
The broader macro backdrop has been supportive of gold in recent days, with July retail sales falling 0.6% against a consensus expectation of a 0.1% gain and University of Michigan consumer sentiment retreating sharply in August.