According to a study analysis by Joseph Chai of RHB Retail study, Comex gold futures might continue a positive trajectory if they successfully breach above their 20-day simple moving average. Despite the commodity trading below the 20-day simple moving average, the futures overnight displayed a “bullish engulfing” pattern on the daily chart, suggesting early indications of a possible recovery, the analyst writes. According to Chai, the relative strength index has also bounced back from its 50% support level, indicating an increase in bullish momentum. Furthermore, the analyst notes that the 20-day SMA is still trending above the 50-day SMA, suggesting that gold bulls are still in charge. Spot gold is now trading at $2,911.70/oz, down 0.1%.
