- a precious metals trader in Hong Kong (based on CNBC)
In the run up to Christmas holidays gold recovered past 20-day to close at 1,075. As the of trading kept declining, of price changes was quite insignificant. Given that there are no major statistical events throughout a new week, we foresee the bullion to develop in a horizontal trend by using the weekly and 20-day (1,072/73) as key anchors. For the bulls, an extra supply is offered by the Nov-Dec downtrend at 1,077. Therefore, longer-term perspectives for January are still skewed to the downside.
The total number of open positions has been steady since Wednesday of last week. Advantage of short market participants is 10% at the moment, as they are keeping 55% of all trades versus 45% for the bulls.