Commodity spotlight – Gold
A renewed sense of optimism over Trump’s tax reforms and strengthening US Dollar dulled Gold’s allure on Monday, with prices sinking to a two-week low, below $1275. The yellow metal is coming under selling pressure on the daily charts, with sustained weakness below the $1280 encouraging a further decline towards $1267. While geopolitical tensions and headlines centered on Spain have offered some support to Gold bulls, the current price action suggests that bears are winning the battle. With the economic calendar fairly light today, the present downside may encourage bears to attack prices lower. From a technical standpoint, previous support around $1280 could transform into a dynamic resistance, opening a path towards $1267. With weekly bulls displaying weakness after Gold secured a weekly low of $1280, the next levels of interest are $1267, $1260 and $1250.