Gold in the comments by the new head of the Federal Reserve increased by up to three months. Janet Yellen. After breaking through key resistance zone of USD 1270 / oz a few days ago, is now trading comfortably above the moving average of a hundred days. But Saxo Bank’s head of product strategy, Ole Hansen, a warning about getting too carried away.
There are three main reasons for the upswing this year, according to the OLE. One of the main concerns about the United States economy is disappointing after two consecutive months of data. He also pointed to the demand from China, said they are “smart investors”, which is slightly lower than in 2013, we have been used. Generally weaker dollar also contributed to the price.
Ole says we are looking now at the 200 day moving average. If we reach the peak of USD 1307 / oz, we’d have to sell off half of October 2013, as amended. It is quite possible that there is more profit to come.
However, beware of the danger, says Ole. The move upward to “explosive” and we are expected to kick some technical buying. If it falls back to USD 1270 can be many “keen disappointment” getting there.