Gold Intraday Bullish Bias, SD Gold (1787-hk) Resumes Uptrend


Yesterday, spot gold ended up 0.1% with an intraday range of just $10. However, the precious metal is still trading within a bullish pattern...

Gold 5

Yesterday, spot gold ended up 0.1%, with an intraday range of just $10. While U.S. economic data keeps showing improvement, investors are cautious about rebound in Covid-19 cases.

Meanwhile, Bloomberg data showed that total known gold ETF holdings rose 12 million ounces in the second quarter, the largest increase since the first quarter of 2009. On the other hand, Citigroup raised its 3-month gold price forecast to $1,825, reiterating its bullish bias for 2021.

From a technical point of view, spot gold is trading within a bullish flag pattern as shown on the 1-hour chart. In addition, it stands above its previous trading range of June 25-26. The level at $1,761 might be considered as the nearest intraday support, while the 1st and 2nd resistance are likely to be located at $1,780 and $1,788 respectively. Alternatively, a break below $1,761 may trigger a pull-back to the next support at $1,755.

Source: TradingView, Gain Capital

Technically, SD Gold (1787.HK), a Chinese gold producer, posted a rebound and broke above the corrective channel after holding above the upper boundary of the consolidation zone on a daily chart.

Currently, the stock prices returned the level above the rising 50-day moving average. In addition, the RSI also crossed above the declining trend line drawn from April.

Bullish readers could set the support level at previous low at HK$14.86, while the resistance levels would be located at HK$18.32 (the previous high) and HK$19.80 (the measured move of consolidation zone) respectively.

Source: TradingView, Gain Capital

More from Gold


This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.

GAIN Capital Singapore Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the GAIN Capital group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), GAIN Capital Singapore Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact GAIN Capital Singapore Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.

In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither GAIN Capital Singapore Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.

GAIN Capital Singapore Pte. Ltd. is not under any obligation to update this report.

Trading CFDs and FX on margin carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit for the complete Risk Disclosure Statement.