Early Sep High Breached

Gold bulls continue to benefit from a swelling geopolitical risk premium centred on the Israel-Hamas conflict.

• Spot has breached key resistance in the form of $1,953.0/oz, the Sep 1 high.
• There was a brief showing above $1,960/oz, before backing off to ~$1,955/oz as of typing.
• Bulls now look to $1,965.5/oz, the 61.8% retracement of the May 4-Oct 6 bear leg.
• Conversely, moving average studies still highlight a broader bear trend condition, however, prices would need to trade below Friday's low of $1,868.8 to/oz signal a reversal.
• Interestingly, known ETF gold holdings have turned negative again after briefly stabilising last week, registering fresh cycle lows as a result.
• The central bank flow picture remains more constructive. This has been a well-documented trend.