Golden data on August 21st, Tuesday, gold hit a new high again, but then narrowed some of the gains, as macro drivers are adjusting the path for continuous rise in precious metals. However, gold prices may still face some resistance in the near term. According to estimates from Dorman Securities, the positioning of macro funds is now closer to levels indicating an impending recession. As analyst Garfield Reynolds pointed out, concerns about economic downturn will certainly help boost demand. However, combined with the largest long position of commodity trading advisors, this indicates a potential pullback in gold prices in the near term. The Relative Strength Index (RSI) for gold is also close to the overbought level of 70, which could lead to a potential technical pullback.
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Institutions: The record-breaking rise in gold may face short-term resistance
Golden data on August 21st, Tuesday, gold hit a new high again, but then narrowed some of the gains, as macro drivers are adjusting the path for continuous rise in precious metals. However, gold prices may still face some resistance in the near term. According to estimates from Dorman Securities, the positioning of macro funds is now closer to levels indicating an impending recession. As analyst Garfield Reynolds pointed out, concerns about economic downturn will certainly help boost demand. However, combined with the largest long position of commodity trading advisors, this indicates a potential pullback in gold prices in the near term. The Relative Strength Index (RSI) for gold is also close to the overbought level of 70, which could lead to a potential technical pullback.